PRESS: USC may swap Finland’s Arctech for Nevsky Shipyard, cash

MOSCOW, Oct 31 (PRIME) -- United Shipbuilding Corporation (USC) has chosen former deputy transport minister Viktor Olersky and co-owner of river cruise operator Vodokhod and maritime and river cargo transportation firm Pola Group Rishat Bagautdinov to buy Finland’s Arctech for cash and Nevsky Shipyard, Kommersant business daily said on Wednesday.

Currently, USC, which is under the U.S. sanctions, controls 100% in Arctech Helsinki Shipyard, a producer of equipment for the Arctic, a builder of ice-breakers and other specialized vessels as well as supply moduls for ships.

The deal, whose size is not disclosed, may be closed until the end of 2018, Kommersant quoted sources.

The main stumbling block for the deal is Arctech Helsinki’s debt. “The sides have agreed on two payment stories out of three, but they are now negotiating the format of a capital loan that USC will be unable to write off,” a source told the business daily.

The repayment will be linked to Artech’s a 10–15 year business plan, while “the story with interest remains with USC,” the source said, adding that USC may be interested in Nevsky Shipyard as the asset is loaded with orders and may be capable of building river-sea vessels.

USC head Alexei Rakhmanov said on Tuesday that the deal was at its final stage. Olersky and USC declined to comment, and Kommersant was unable to reach Bagautdinov. A representative of the Industry and Trade Ministry said that USC had been in talks with Russian investors since August in order “to keep and use the Finnish shipyard within Russian interests,” the business daily reported.

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