UPDATE: Spox denies Putin’s approval to sell 25% in Aeroflot to Rotenberg

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MOSCOW, Mar 10 (PRIME) -- Russian President Vladimir Putin has not approved the sale of a 25% stake in flagship air carrier Aeroflot to businessman Arkady Rotenberg, and there are various points of view on the matter in the government, spokesman Dmitry Peskov told reporters on Thursday.

The Financial Times reported citing three people familiar with the issue that Rotenberg, whose family has recently acquired a 68% stake in the Sheremetyevo airport and who owns large stakes in other key infrastructure assets, is seeking to buy a 25% stake in Aeroflot. Two sources said that Putin knows about this ambition and is “sympathetic” with Rotenberg’s desire to privatize the air carrier.

“You know about those discussions which are held about possible privatization options. You know that there are different points of view regarding the issue. But it is not the sole prerogative of the president,” Peskov said.

Bloomberg reported that Russia’s Transport Minister Maxim Sokolov believes privatization of Aeroflot in 2016 is “very problematic”.

The Russian government will need no less than a year to prepare a stake in the company and in Russian Railways monopoly for privatization, Sokolov said.

In February, Aeroflot CEO Vitaly Savelyev said he sees no reason to privatize the company this year. Capitalization of Aeroflot plunged to U.S. $700 million from $3 billion in 2014, he said.

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