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WARSAW, Dec 21 (Reuters) - Enterprise Investors (EI) expects the initial public offering (IPO) of Polish retailer Dino, in which it owns a 49 percent stake, to raise more than 1 billion zlotys ($237 million), the head of the private equity fund said.
Dino said earlier this month that EI planned to sell potentially its entire stake in a flotation next year.
The offering could be a boost for the Warsaw bourse, which has seen many investors turn cautious following a range of policies from the conservative Law and Justice (PiS) government that have been criticised by the European Commission and some credit rating agencies.
Media reports have valued Dino's IPO at around 1 billion zlotys.
"I assume that the estimates on Dino's IPO value, provided by the press, are based on company's results in 2015 and we are talking about a company, which increases its profits by more than 20 percent each year", Jacek Siwicki told Reuters.
"I hope that we will be selling the company based on its 2017 forecast. That's why one might assume that the offer's value will be much higher than 1 billion zlotys", he added, without providing further details.
Dino currently has 608 stores, up from 100 in 2010, mostly in western Poland. Its revenues rose by 23 percent in 2015 to 2.6 billion zlotys, while earnings before interest, tax, depreciation and amortisation (EBITDA) increased by 42 percent to 201 million zlotys.
$1 = 4.2264 zlotys Reporting by Anna Koper; Editing by Agnieszka Barteczko and Mark Potter