Russian cybersecurity firm Positive Technologies still plans to go ahead

Russian cybersecurity firm Positive Technologies still plans to go ahead

Russia's Positive Technologies still plans to go ahead with its secondary public offering SPO despite a sell-off in Russian share market this week, executives of the cybersecurity firm said on Thursday.

A placement of up to 2.6 million existing shares in an SPO was made on Monday by the company, the first share sale by a Russian company since Moscow sent troops into Ukraine in February.

The Russian stock market has lost 18 per cent since World War Two, as a result of plans to hold referendums on Russian-controlled regions in east Ukraine and Russia's first military mobilisation.

The Russian share index, MOEX, was up a bit on Thursday and was 2.5 per cent higher as of 0939 GMT.

Positive Technologies' Investor Relations director Yury Marinichev said during a video call organized by brokerage ITI Capital that they are confident that the current market situation is not permanent due to the fall of the Moscow Exchange Index.

Positive Group listed shares on the Moscow Exchange in December, and its share price has risen 44 per cent this year, despite a slump in February, as investors favoured its growing business.

The SPO could take the company's free float to as high as 14.44 per cent, from 10.44 per cent, and possibly increase it to 15 per cent by the end of next year, as investors will be offered an option to buy an additional share in the company for each four they acquire, Marinichev said.

The company, which receives 98 percent of its revenue from Russia, plans to expand overseas, possibly in the Middle East and Latin America, according to Vladimir Zapolyanskiy, another Positive Technologies executive.