Home
News
In Focus
Business
Metro
Nation
World
Sports
Feature
Opinion
View more »Opinion Columns
Wan LixinOpinion deputy editor of Shanghai Daily
Restaurants get off to a quick start thanks to game-changing policies
High service charges on event ticket refunds call for further regulation
Sunday
- Subscribe
Related News
Sistema to buy out Russian oil businesses
By Vladimir Soldatkin and Tanya Mosolova |
March 31, 2009, Tuesday
|
Print Edition
Print Edition
RUSSIAN services conglomerate Sistema has agreed to pay US$2.5 billion to buy majority control of six oil production, refining and marketing companies in the Bashkortostan region, Sistema said yesterday.
Sistema, which had already owned smaller stakes in the companies, has increased its shareholding to between 73 and 87 percent in the firms, which include a mid-sized oil producer, four refineries and a retail firm.
"This transaction will allow us to maximize the returns from our portfolio investments and to receive another steady source of cash flows," Leonid Melamed, Sistema's president and chief executive officer, said in a statement.
Sistema said it will make the payment in two lots ?? with US$2 billion to be paid upon the completion of the deal and US$500 million to be paid in 14 months after the deal is closed.
"The completion of the deal is contingent upon the fulfillment of a number of conditions," the statement said.
Sistema, which has said it would seek to buy total control in the assets, said it plans to make an offer to minority shareholders to buy out their shares.
The Bashkir energy firms include mid-sized oil producer Bashneft, refineries Novoil, Ufimsky, Ufaneftekhim amd Ufaorgsintez and retailer Bashkirnefteproduct.
The assets, previously controlled by the regional government, had been under lengthy legal investigation following the 2006 federal tax service suit accusing the companies' former owners of illegal dealing in shares. The proceedings were scrapped in February after the tax service withdrew its claim.
Sistema, which had already owned smaller stakes in the companies, has increased its shareholding to between 73 and 87 percent in the firms, which include a mid-sized oil producer, four refineries and a retail firm.
"This transaction will allow us to maximize the returns from our portfolio investments and to receive another steady source of cash flows," Leonid Melamed, Sistema's president and chief executive officer, said in a statement.
Sistema said it will make the payment in two lots ?? with US$2 billion to be paid upon the completion of the deal and US$500 million to be paid in 14 months after the deal is closed.
"The completion of the deal is contingent upon the fulfillment of a number of conditions," the statement said.
Sistema, which has said it would seek to buy total control in the assets, said it plans to make an offer to minority shareholders to buy out their shares.
The Bashkir energy firms include mid-sized oil producer Bashneft, refineries Novoil, Ufimsky, Ufaneftekhim amd Ufaorgsintez and retailer Bashkirnefteproduct.
The assets, previously controlled by the regional government, had been under lengthy legal investigation following the 2006 federal tax service suit accusing the companies' former owners of illegal dealing in shares. The proceedings were scrapped in February after the tax service withdrew its claim.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
