Monday, September 18, 2006
Polyus Gold: plans USD 1bn buy back and listing on LSE - reports
Russian largest gold producer, Polyus Gold, is starting a 10-day roadshow today to announce its USD 1bn buy back and plans to list on LSE by the end of this year.
Reports in Vedomosti and Kommersant referred to Polyus Gold's new growth strategy targeted by 2015. Polyus Gold incorporates gold assets of the listed Russian metals giant, Norilsk Nickel. Kommersant and Vedomosti cited a source close to Polyus and wrote that Deutsche Bank is a lead manager of the buy back.
Currently, about 45% of Polyus is in free float and the company has a market value of USD 8.25bn, Kommersant wrote. The Vedomosti source said that subsidiaries of Russian holding, Interros, will sell a part of its stake in Polyus, suggesting it will be no more that 5%. The main owners of Polyus Gold are Norilsk Nickel’s director general, Mikhail Prokhorov, and Interros president, Vladimir Potanin.
Vedomosti cited an earlier Potanin statement that said the main shareholders of Interros and Polyus will be gradually reducing their stake in the companies, but not below a controlling interest.
As a result of the buy back, about 8% - 10% of Polyus‘s stake will be taken by Polyus’s subsidiary, Jenington (JVS). Later, this stake will be used in asset swap deals with western companies, both papers said, citing the Polyus’ source. Vedomosti cited specialists who noted that the changes in Polyus could mean that the company is preparing for either buys of gold assets, or an IPO.
According to its new strategy, Polyus expects to gain market value of USD 14bn – USD 16.5bn by 2015.
Source Vedomosti, Kommersant
Value USD 1,000m (Polyus Gold buy-back)
Reports in Vedomosti and Kommersant referred to Polyus Gold's new growth strategy targeted by 2015. Polyus Gold incorporates gold assets of the listed Russian metals giant, Norilsk Nickel. Kommersant and Vedomosti cited a source close to Polyus and wrote that Deutsche Bank is a lead manager of the buy back.
Currently, about 45% of Polyus is in free float and the company has a market value of USD 8.25bn, Kommersant wrote. The Vedomosti source said that subsidiaries of Russian holding, Interros, will sell a part of its stake in Polyus, suggesting it will be no more that 5%. The main owners of Polyus Gold are Norilsk Nickel’s director general, Mikhail Prokhorov, and Interros president, Vladimir Potanin.
Vedomosti cited an earlier Potanin statement that said the main shareholders of Interros and Polyus will be gradually reducing their stake in the companies, but not below a controlling interest.
As a result of the buy back, about 8% - 10% of Polyus‘s stake will be taken by Polyus’s subsidiary, Jenington (JVS). Later, this stake will be used in asset swap deals with western companies, both papers said, citing the Polyus’ source. Vedomosti cited specialists who noted that the changes in Polyus could mean that the company is preparing for either buys of gold assets, or an IPO.
According to its new strategy, Polyus expects to gain market value of USD 14bn – USD 16.5bn by 2015.
Source Vedomosti, Kommersant
Value USD 1,000m (Polyus Gold buy-back)
