Russian antitrust clears Rostec to sell 49% in Kalashnikov

MOSCOW, Feb 26 (PRIME) -- Russia’s Federal Antimonopoly Service (FAS) has approved a sale of 49% in arms producer Kalashnikov to private investors by state-owned industrial corporation Rostec, which holds 100% in the producer, the service’s Director Igor Artemyev said Wednesday in a broadcast of the Rossiya 24 television channel.

“Yes, the decision was made. From our part, we have endorsed the deal. There is rather a strict law, linked to the licensing of arms, and to everything concerning defense issues; decisions must also be made by competent bodies,” Artemyev said.

Rostec plans to sell 49% in the arms producer to a joint venture of Andrei Bokaryov, co-owner of machine building company Transmashholding and coal producer Kuzbassrazrezugol, and Alexei Krivoruchko, general director of Aeroexpress, a city-airport commuter operator, for 2.5 billion rubles.

Rostec plans to keep the remaining 51% in Kalashnikov.

(35.5669 rubles – U.S. $1)

End