Mail.ru, now the third most popular search engine in Russia has confirmed their IPO in London this coming Monday. .
In the Moscow Times today, a source close to the deal has estimated the group to be worth between $5 billion to $5.5 billion. The 15% stake on offer in Monday’s IPO would raise $750 million to $825 million for the company. It is expected that this IPO will help set a benchmark for other Russian Internet firms looking to list in the near future.
Mail.ru has been a strong performer in the Russian Internet over the last 3 years, raising their marketshare to 8-10% (LiveInternet). Having played Yandex and Google against each other, they now have their own search technology, Gogo.ru.
The group are also heavy investors in Facebook, the western rival to local Russian platform “Vkontakte”. Facebook have started to take the competition more seriously —presumably when they realised that Vkontakte has gained approv. 61m users against their estimated 800’000— and opened local offices in Moscow.