PRESS: Rosneft may buy Bashneft without auction for 325 bln rbl

MOSCOW, Oct 3 (PRIME) -- The Russian government is discussing a puchase of state-owned oil major Rosneft buying its 50.08% in oil company Bashneft without an auction for about 325 billion rubles, Kommersant business daily reported Monday citing analysts.

On September 30, First Deputy Prime Minister Igor Shuvalov said that the government decided to resume preparations for a sale of its stake in oil company Bashneft, and Rosneft was granted access to the deal. But Vagit Alekperov, CEO of Lukoil, said then that privatization will not happen anytime soon and the stake’s valuation of 297–315 billion rubles is not relevant due to changes in the oil sector taxation.

“The government is now studying two options of privatization of the state stake in Bashneft. Under the first one, investment advisor VTB Capital is to poll contenders in a week asking them for a price they are ready to pay for the company,” Kommersant reported.

“The second option, which sources say is more likely, includes a direct sale of Bashneft without an auction to Rosneft. In any way, the government supposes the budget will receive about 325 billion rubles for the stake.”

Besides Rosneft, only Lukoil was able to pay this amount for Bashneft, but Lukoil thought the price was too high and stopped being a contender for the asset. If the deal on Rosneft acquiring Bashneft works out, the 19.5% stake in the state-owned oil major may be privatized at a higher price even despite western sanctions, the business daily said.

Previously, Shuvalov said that the government plans to receive more than 1 trillion rubles from sales of stakes in the two companies, and the government has agreed that the 19.5% stake in Rosneft will not be sold to one strategic investor, but will be sold to several investors or a consortium comprising several independent owners, Kommersant reported.

(63.3960 rubles – U.S. $1)

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