Prokhorov to Sell Stake in Norilsk Nickel to Potanin for $10bn

Tag : Non-ferrous Metal
Prokhorov to Sell Stake in Norilsk Nickel to Potanin for $10bn
ONEXIM Group of Mikhail Prokhorov intends to sell its 16.66 percent in GMK Norilsk Nickel to Vladimir Potanin , RIA Novosti reported with reference to the statement of ONEXIM.
The firms of Vladimir Potanins Interros are ready to buy out thestake for $10 billion, or $315 per a stock, under irrevocableoffer, the statement specified.

The payment is to be effected by money [$6.5 billion] and 35.2percent in Polus Zoloto [$3.5 billion] currently owned by the firmsof Vladimir Potanin. The deal will be completed by November 15,2008, the statement said.

According to previous reports, Potanin owned roughly 30 percent inPolus Zoloto, and Prokhorov is officially said to have the stake ofequal size in that gold-mining company.

ONEXIM chief closed the deal to sell 25 percent in Norilsk Nickel to United RUSAL in spring on expiration of the first-refusal right of Interros.

GMK Norilsk Nickel is one of the world biggest companies ofprecious/non-ferrous metal production, accounting for over 20percent of global output of nickel, over 10 percent of cobaltoutput and 3 percent of copper production. The company minesroughly 96 percent of Russia's nickel, 55 percent of copper and 95percent of cobalt. Interros owns roughly 30 percent in NorilskNickel, United RUSAL has 25 percent plus two stocks.