Pramac stackers

Italy's generator sets and forklift firm Pramac SpA's CEO, Paolo Campinoti, said at a presentation of its initial public offering that it intends to use the proceeds partly for acquisitions, according to Thomson Financial News.

In addition, Pramac, which is being valued at between EUR122 million (USD163.9 million) and EUR153 million (USD205.5 million) in the IPO, intends to pay out a large slice of its profits in dividends, he said.

"From next year, we have planned a pay-out of between 30-40% of net profit. We want to continue our acquisition policy. We are examining various options," he is quoted as saying.

The IPO comprises a maximum of 10.9 million shares issued at EUR4-EUR5 (USD5.37-USD6.72) each, including 2.9 million shares from a capital increase.

The raising should generate between EUR13 million (USD17.5 million) and EUR15 million (USD20.2 million) in fresh capital, EUR2.5 million (USD3.4 million) of which is earmarked for a new production plant in Romania to open at the end of 2007 or early 2008, according to reports.

The company said new commercial offices are planned in India, Russia and the United Arab Emirates, where growth is foreseen.

Pramac also intends to develop its leasing activities, setting up its own units and expanding internationally, it said.