Prokhorov's ONEXIM completely withdraws from UC Rusal
ONEXIM of Mikhail Prokhorov will sell a 6% stake in UC Rusal to the consortium Zonoville Investments Limited. Thus, Prokhorov will completely abandon the aluminum field.
The consortium Zonoville Investments Limited reports on the agreement to purchase a 6% stake in UC Rusal from ONEXIM of Mikhail Prokhorov. This is stated in the company's press release.
Zonoville Investments Ltd. belongs to a group of investors led by Renova of Viktor Vekselberg and Access Industries of Leonard Blavatnik. As a result of the transaction, Zonoville Investments Limited and SUAL Partners Limited, associated with the consortium, consolidate 26.5% of Rusal's shares. The amount of the transaction was not disclosed. Based on the closing price of the Hong Kong Stock Exchange on Monday, the value of such a package is $658.2 million.
ONEXIM spokesman Andrey Belyak declines to comment. The representative of Renova does not respond to RBC's request.
The largest shareholder of UC Rusal is En+ of Oleg Deripaska: he owns 48.13% of the company. Another 8.75% belongs to Amokenga Holdings (the subsidiary of the Swiss trader Glencore). Free float is 16.37% of shares, another 0.25% is owned by the company's management. At the end of last year, just before En+ placement on the London Stock Exchange, the Swiss Glencore announced that it was going to exchange 8.75% of UC Rusal for En+ shares (Oleg Deripaska's share in the aluminum company would thus increase to 56.88%). Last week, Viktor Vekselberg told RBC that it was not going to change the 20.5% stake in UC Rusal for En+ shares.
Prokhorov's ONEXIM was looking for a buyer for his stake in UC Rusal (at that time its share was 17.02%) from the summer of 2016. Prokhorov received this share back in 2008, as part of Oleg Deripaska's calculation for the blocking stake in Norilsk Nickel. In February 2017, ONEXIM sold 3.3% of the company's shares for $240 million. In August 2017 Prokhorov sold another 7% of UC Rusal to Zonoville Investments, reducing its stake to 6.7%. The value of the package was then determined at $503.885 million with a market value of $719.8 million. According to the UC Rusal website, now ONEXIM has 6% in an aluminum company.
After the completion of this transaction, the agreement between the largest shareholders of UC Rusal - En+ of Oleg Deripaska, Sual Partners, ONEXIM and Swiss Glencore (8.75%) will cease to be effective. The agreement was in effect until En+, Sual Partners, ONEXIM and Glencore owned at least 5% in Rusal. It gave minority shareholders the right of veto. ONEXIM had the right to nominate one director to the UC Rusal board of directors, as well as one director to the board of directors of Norilsk Nickel. The UC Rusal board of directors is not involved in the shareholder agreement and is not a party to the contract, RBC says a source close to the company's board of directors.
In recent years, Mikhail Prokhorov has been consistently selling off his assets in Russia. Vedomosti wrote about intention of the businessman to get rid of Russian assets in July 2016. Since then, Prokhorov has sold the development company OPIN to Roman Avdeev, RBC media holding to Grigory Berezkin, and 20% in Uralkali to Belarusian businessman Dmitry Lobyak, who is close to the owner of Uralchem, Dmitry Mazepin. In addition, Prokhorov announced the sale of 49% in the club NBA Brooklyn Nets to co-founder of Internet retailer Alibaba Joseph Tsai, who would be able to buy a controlling stake in the club after four years. The exception was the participation of Prokhorov in the IPO of one of the largest shoes sellers in the country - the Obuv Rossii company (in August 2017, he bought a stake of 24.99%). In addition, the billionaire gets the International Financial Club banks (in January it became known about ONEXIM's plans to increase its stake to 100%), Renaissance Capital, the Quadra energy company, and the Soglasie insurance company.
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