CEO says sees no reason in privatization of Russia’s Transneft

BUDAPEST, Oct 30 (PRIME) -- There is no reason in privatization of Russian oil major Transneft, CEO Nikolai Tokarev told reporters on Wednesday.

“Speaking of Transneft, I see no reason in breaking the company into pieces and transforming it into some sort of a collective farm. It is a serious venture, it is of a state importance, it is in the list of strategic companies, it is very dangerous to tear it into pieces,” he said.

“We are not even discussing privatization of Transneft seriously, at least within the company…But there is discussion outside the company, it was raised as a possibility in a corresponding order, they will find the happy middle ground, and some solutions will be made.”

Tokarev also said that the situation within the company was not favorable for a share buyback.

“We are not forcing the topic, the situation is not that favorable from the point of view of the buyback today…In the end, buyback is an additional financial burden on the company, and we already have problems that we have to solve first,” he said.

“It remains on the table, we didn’t cancel it. We may have to delay its terms, it is very likely. Of course, we will do it if they flash a greenlight to us because we are a state company.”

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