Gulf Oil and Gas accountACCOUNT

Glencore & Qatar Buy $11.3bn Stake in Russia's Rosneft

Source: www.gulfoilandgas.com 12/8/2016, Location: Asia

Share |
Glencore notes the announcement released by the Russian government regarding the privatization of shares in Rosneft.

Glencore confirms that it is in final-stage negotiations regarding a transaction involving the acquisition, as part of a consortium with the Qatar Investment Authority (the Consortium), of a 19.5% interest in the issued share capital of Rosneft for €10.2 billion (the Shares).

Under the proposed arrangements, Glencore would commit €300 million in equity (the Glencore Equity) with the balance of the consideration for the acquisition of the Shares to be provided by QIA and by non-recourse bank financing. The other material terms of the proposed transaction for Glencore are:
• New 5 year offtake agreement with Rosneft representing a sizeable additional 220,000 bbls/day for the Glencore Marketing business.
• Additional opportunities, through a strategic partnership for further cooperation, including infrastructure, logistics and global trading.
• Other than the economic exposure represented by the Glencore Equity, (amounting to a• c.0.54% indirect equity interest in Rosneft), Glencore would not have any economic exposure to its interests in the Shares.
• Limited liability structure fully ring-fenced and non-recourse to Glencore apart from its• €300 million equity contribution and the provision of certain guarantees, the risks of which would be fully indemnified by appropriate financial institutions.

Once the transaction is entered into, it will be conditional on the subsequent finalization of all relevant financing, guarantee and other agreements and would be expected to close in mid December.

A further announcement will be made in due course.

Mergers and Acquisitions News in Russia >>

China >>  4/27/2017 - BP has agreed to sell its 50% stake in the Shanghai SECCO Petrochemical Company Limited (SECCO) to Gaoqiao Petrochemical Co Ltd, a 100% subsidiary of ...
Netherlands/Holland >>  4/26/2017 - Shell has completed the sale of its 20% interest in Vivo Energy Holding B.V. to Vitol Africa B.V. for a total amount of US$250 million. This sale was ...

Bangladesh >>  4/24/2017 - Chevron Corporation announced that its wholly-owned subsidiary, Chevron Global Ventures, Ltd., has entered into an agreement to sell the shares of its...
Canada >>  4/24/2017 - DOF Subsea AS has purchased the remaining shares in Canadian Subsea Shipping Company AS. Before the transaction, DOF Subsea AS owned 45 % of the share...

Brazil >>  4/21/2017 - Atlas Copco, a leading provider of sustainable productivity solutions, has agreed to acquire Itubombas Locacao Comercio Importacao e Exportacao Ltda, ...
France >>  4/21/2017 - Neptune Oil & Gas moved closer to the $2 billion purchase of a majority stake in the exploration and production arm of French utility Engie after agre...

Related Categories: Accounting, Statistics  Acquisitions and Divestitures  Asset Portfolio Management  Economics/Financial Analysis  General  Insurance  Investment  Mergers and Acquisitions  Risk Management 

Related Articles: Accounting, Statistics  Acquisitions and Divestitures  Asset Portfolio Management  Economics/Financial Analysis  General  Insurance  Investment  Mergers and Acquisitions  Risk Management 


Russia Oil & Gas 1 >>  2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 | 23 | 24 | 25 | 26 | 27 | 28 | 29 | 30 | 31 | 32 | 33 | 34 | 35 | 36 | 37 |

More News

 

Oil & Gas Companies in Russia >>


Related Links

Gulf Oil and Gas
Copyright © Universal Solutions All rights reserved. - Privacy Policy.