Support The Moscow Times!

Russneft Stake a Good Buy

ST. PETERSBURG — AFK Sistema's 49 percent stake in Russneft, an indebted Russian oil producer, is valued at about $1.5 billion now, Sistema chairman Vladimir Yevtushenkov said Saturday at the St. Petersburg International Economic Forum.

The holding company said it bought the stake for not more than $100 million in April last year. Russneft may reduce its debt by $700 million to $5.3 billion by year-end, RIA-Novosti reported Friday, citing the oil company's founder and co-owner Mikhail Gutseriyev.

Sistema may merge its stakes in Russneft and larger oil producer Bashneft after Russneft's debt is cut to $4 billion, Sistema president Mikhail Shamolin said June 16. That may take about 2 1/2 years, he said.

(Bloomberg)

Read more

Independent journalism isn’t dead. You can help keep it alive.

The Moscow Times’ team of journalists has been first with the big stories on the coronavirus crisis in Russia since day one. Our exclusives and on-the-ground reporting are being read and shared by many high-profile journalists.

We wouldn’t be able to produce this crucial journalism without the support of our loyal readers. Please consider making a donation to The Moscow Times to help us continue covering this historic time in the world’s largest country.