Vladimir Putin had a working meeting with Rosneft President and Chairman of the Management Board Igor Sechin to discuss the results of a deal to sell a stake in the Russian oil company Rosneft. Kremlin press center says Vladimir Putin congratulated Igor Sechin on the conclusion of a privatisation deal to sell 19.5 percent of the company.
According to Igor Sechin, the consortium that will become Rosneft’s shareholder was established by the Qatar Sovereign Wealth Fund and Glencore trading company. The consortium participants hold equal stakes: 50 percent each.
RF President emphasized that the deal was made on an upward trend in the price of oil and it therefore reflects on the value of the company itself.
“In this respect, the timing is very good and the overall value of the deal is significant: 10.5 billion euros. Together with the Bashneft company that you acquired recently, this amounts to $17.5 billion. Even the first by itself is the largest privatisation deal, the largest sell-off and acquisition in the oil and gas sector in the world in the outgoing year 2016”, said Vladimir Putin.
Vladimir Putin also expressed his hope that new investors and their participation in managing bodies will improve corporate procedure and the company’s transparency and will ultimately increase its capitalisation. Meanwhile, the company’s controlling stake will remain in the hands of the Russian state: over 50 percent.