VSMPO, supplier to aerospace rivals Boeing and Airbus, scheduled the meeting for Nov. 7, the company said in a regulatory filing Wednesday. VSMPO did not say what would be on the agenda.
Rosoboronexport will pay $1 billion for 70 percent of VSMPO within a week, Vedomosti reported Thursday, citing unidentified officials from both companies. Sergei Chemezov, Rosoboronexport's chief executive, said Aug. 12 that VSMPO's main owners, CEO Vladislav Tetyukhin and chairman Vyacheslav Bresht, would sell at least 51 percent. Tetyukhin declined to comment on the Vedomosti report when called Thursday.
President Vladimir Putin, who served in the KGB in East Germany at the same time as Chemezov, is using cash generated by record oil prices to increase government control of key industries. VSMPO supplies about 40 percent of the titanium used by Boeing and 60 percent used by Airbus, the world's two largest airplane makers.
Boeing signed an accord Aug. 11 to secure supplies from VSMPO and expects to spend $18 billion on Russian titanium over the next 30 years. That followed a $1 billion contract VSMPO signed in May with European Aeronautic Defence and Space, which owns 80 percent of Airbus, for shipments through 2011.
Tetyukhin, VSMPO's chief executive, has said that all existing contracts would be honored after the takeover and that he will seek to reinvest profit to accelerate production growth.
VSMPO expects to increase output by 11 percent this year to 23,500 metric tons. By 2012, it plans to be producing 46,000 tons of titanium ingot, wire, forged material and machine parts per year.
After completing the acquisition, Rosoboronexport may sell less than 10 percent of VSMPO's shares in the second quarter of next year and list the stock in Moscow, New York and London, Vedomosti reported.
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