According to the sources, Arcapita Bank, which is based in Bahrain, has asked JPMorgan Chase & Co. (NYSE:JPM) to make a share listing for Viridian Group, an energy firm based in Ireland. Sources have it that the deal could give the firm a total of 1 billion pounds value, including the debts.

Viridian Group Ltd (VRD: LN) is based in Belfast. The company faced nationalization process back in 1993 when it was known as the Northern Ireland Electricity company. Later on in 1998, it was made a holding corporation. Currently, the company owns two plants near the Huntstown region of Dublin that generate gas. Moreover, the company operates its business in the segments of Power NI and Energia.

Arcapita Back is the sole owner of Viridian Group Ltd (VRD: LN) since 2006. Last year, the company reported its earnings of 99 million pounds. It is pertinent to note here that the earnings were calculated before deducting any interest tax amounts, amortizations and depreciation values. The net debt of Viridian Group Ltd (VRD: LN) was recorded to be at 582.7 million pounds.

According to Thomson, the shares of the United Kingdom based companies are currently being exchanged on EV (Enterprise value) at a multiple of 10.3 (including EBITDA). The companies on EV include Centrica (CAN.L) SS&E (SSE.L), Drax (DRX.L), Severn Trent (SVT.L), United Utilities (UU.L) and National Grid (NG.L).

The spokesperson of JPMorgan Chase & Co. (NYSE:JPM) and Viridian Group Ltd (VRD: LN) refused to comment whereas no official from Arcapita Bank could be reached to get their comments on the recent news.

On August 15, 2014, a representative of Viridian Group Ltd (VRD: LN) said that the company constantly and consistently works with different banks and investment firms, including JPMorgan Chase & Co. (NYSE:JPM). The spokesperson further said that the company often needs strategic help and so it contacts these firms to know better about its investment and other options.

Viridian Group Ltd (VRD: LN) further said that it has not made any decision to go public nor has it appointed JPMorgan Chase & Co. (NYSE:JPM) as its coordinator.

However, according to the sources, the company will open up its first round of the offerings by the end of the year 2014, with JPMorgan at its side to make the deal go smoothly. The sources further said that Viridian Group Ltd (VRD: LN) will list its stocks on the London Stock Exchange.

Coming to the share prices of JPMorgan Chase & Co. (NYSE:JPM), the firm, on the last trading day, opened its shares at a price of $57.24 and closed at an increased price of $56.78. As far as the intraday range of the company’s stocks is concerned, the numbers are reported to be around $56.39 to $57.50. The company has a market capitalization of $214.32 billion with price to earnings ratio of 14.55.

Whether the news of Viridian Group Ltd (VRD: LN) going public is true or not, it looks like JPMorgan Chase & Co. (NYSE:JPM) will benefit from it anyway.

 

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