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No Bonuses at Alfa Investment Bank

By Howard Amos / The Moscow Times

The denial of bonuses to Alfa Bank's investment-banking arm was confirmed Wednesday as the outfit became the second major privately owned investment bank to reveal its suffering in less than a week. The denial of bonuses to Alfa Bank's investment-banking arm was...

Regional Retail Market: Next Stop for Real Estate Investors in Russia?

By Konsantin Lysenko / CBRE, Russia

After considerable growth of retail real estate investment deals in Russia in 2010-11, a major intrigue is the possibility of active expansion of institutional investment deals into regional markets. We already see that such high-quality retail assets as Karnaval in Chekhov and Victory Plaza in Ryazan...

SU-155 Plans to Invest Over $1Bln in 2012 Housing Construction

Vedomosti

In the first quarter of the year, investment by SU-155 in construction rose 10 percent compared with the same period of last year and amounted to 5.9 billion rubles ($195 million). In the first quarter of the year, investment by SU-155 in construction rose...

Chinese Seeking 'Beauty' in Russian Investment

By Howard Amos / The Moscow Times

... Dagestan republic and Irkutsk are particularly promising, vice president of China Oceanwide Holding Group Tszysin Tsi told reporters. "We have made initial agreements with local authorities from these towns, so we have made the first step toward investment," he said, speaking through a translator. During their guided tour of the Russian regions, the investors visited Makhachkala, the violence-prone capital of Dagestan, and the Caspian Coast — sites promoted by North Caucasus Resorts...

Cherkizovo Holds Off on New Investments Prior to WTO

Reuters

Meat producer Cherkizovo will hold off on new investments in pork in anticipation of a slump in prices following Russia's entry into the World Trade Organization, while existing projects will lift production a third this year. Meat producer Cherkizovo will hold off...

Gazprom May Increase Investment Spending

By Anatoly Medetsky / The Moscow Times

Gazprom could again increase its investment program for this year, after recently announcing plans to raise investment spending by 8.5 percent to $27 billion. Gazprom could again increase its investment program for this year in the next few months, a senior executive said Wednesday...

$500M Invested in Uraltrak

Chelyabinsk Tractor Plant – Uraltrak, part of Uralvagonzavod, intends to invest 15 billion rubles ($500 million) in the technical refitting of its production facilities, the Uralvagonzavod corporate newsletter said, Interfax reported Friday. Some of the funds will come from the federal target program for the development of...

TCS Gets $50M Investment

Russia-focused private equity firm Baring Vostok will invest $50 million in Tinkoff Credit Systems, or TCS, a fast-growing local midsized lender, TCS said. TCS is majority-owned by founder and former bicycle racer Oleg Tinkov, who is implementing a "branchless" model that makes it possible to get...

How to De-Spook Investors

By Chris Weafer

... has combined with economic unpredictability to create an even more uncertain backdrop for global markets. In the United States, Europe and China, political transition is having a direct impact on macroeconomic trends and on the perception of global investment risk. This combination is keeping investors wary of risk investments, and Russian assets are near the top of that list. The problem for investors in Russia, and the price that they are willing to pay for assets, is that the global political...

Rusnano Invests $40M

Rusnano has invested $39.8 million in U.S. based NeoPhotonics, which designs and manufactures photonic integrated circuit, or PIC, based modules and subsystems for bandwidth-intensive, high-speed communications networks. "According to the agreement, Rusnano...

Total Still Expects Lead Foreign Investor Role in Shtokman

Reuters

New contractual terms for the development of Shtokman, Russia's giant Arctic offshore gas field, are to be agreed by the end of June, with a final investment decision put off until next year. PARIS — New contractual terms for the development of Shtokman, Russia's giant Arctic offshore gas field, are to be agreed by the end of June, with a final investment decision put off until next year...

Foreign Investors Applaud Stability

By Nikolaus von Twickel and Howard Amos / The Moscow Times

... month for returning to the chairmanship of Rosneftegaz, the state-owned company with a controlling stake in Rosneft. Shuvalov came under pressure in March amid Western media reports that his wife, Olga, had netted more than $100 million from a series of investment deals involving Russian billionaires. He has admitted to the deals but said they were all legal and did not pose any conflicts of interest. National media have speculated that the information was leaked by forces linked to Sechin who oppose...

Mavrodi Under Investigation in Novosibirsk

The Moscow Times

... concerning "illegal business activity" was opened in Novosibirsk against Alexei Astafiyev, a regional manager of the MMM-2011 scheme, which is a carbon copy of the 1990s version. Astafiyev allegedly received more than 9 million rubles ($300,000) of investments from about 100 people over three months, promising them 900 percent returns. He took 2 million rubles of that amount as a bonus for himself, according to the prosecutor's statement, which also says Mavrodi acted as an adviser to Astafiyev...

Nationwide Hunt Begins for Business Angels

By Justin Varilek / The Moscow Times

This week’s $75 million injection into classifieds advertising site Avito.ru is further proof of the investment attractiveness of Russian startups, which are a key element in the government’s push for diversifying the country’s energy-dependent economy. This week’s $75 million injection into classifieds advertising site Avito.ru is further proof...

Foreigners Should Look Beyond the Headlines

By Pavel Gagarin

... phenomenon is well-known among medical students. After reading so much about all the many illnesses that can afflict the body, they often begin to imagine that they are actually suffering from some of the illnesses. Russia is generally considered a high-risk investment market. Investors fear the abusive application of tax laws, arbitrary and punitive tax inspections and biased court decisions. Another major obstacle for foreign investors is the bureaucratic delays when they try to obtain dozens of useless...

Usmanov Shows His Acumen Again in Facebook IPO

Reuters

Russia's richest man recognized the value of Facebook three years ago when he invested in the social-networking company and has now enjoyed a payday of about $1 billion, propelling him further ahead of Russia's oligarchs, who have largely stuck with oil and steel. Russia's richest man recognized...

Goldman Sees Insufficient Scale of Road Building

Vedomosti

The government doesn't spend enough on infrastructure projects because it doesn't believe in the effectiveness of such investment. The government doesn’t spend enough on infrastructure projects because it doesn’t believe in the effectiveness of such investment, according to an analysis by Goldman Sachs. The quality of infrastructure in Russia is lacking...

Vnukovo Co-Owners Eye Domodedovo Construction

The Moscow Times

Co-owners of Vnukovo Airport could invest in the construction of a second runway at Domodedovo Airport in return for land at Domodedovo for the construction of a new passenger terminal and fueling facility. Co-owners of Vnukovo Airport could...

Cherkizovo Head Has 'Intuitive' Understanding of Trade Protection

Reuters

Meat producer Cherkizovo will hold off on new investments in pork in anticipation of a slump in prices following Russia's entry into the World Trade Organization, while existing projects will lift production a third this year. Meat producer Cherkizovo will hold off...

$13.4Bln Football Bill Puts Ukraine in the Hole

Reuters

... the outlay might complicate its chances of servicing its debt. The staging of the monthlong Euro 2012 tournament has consumed $13.4 billion, including $6.6 billion from state coffers. That is unlikely to make the country any more inviting for foreign investment, analysts say. And despite the hopes of tour operators and the authorities themselves, once the competition taking place in four Ukrainian cities is over and the fans have gone home, it is by no means certain that Ukraine will be a new European...

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