Page 109 - RusRPTSept20

Zaramagskaya hydropower plant (HPP)). Still, BCS GM maintained a Sell recommendation on the name with target price of RUB0.53 per share.
Russian utility major T Plus of sanctioned billionaire Victor Vekselberg's and Hevel Group will set up a joint venture to consolidate solar generation assets with total 2022 capacity planned at 1.5GW and valuation of up to RUB75bn ($1bn), Interfax and Vedomosti daily reported on August 31. The company could become the largest operator of solar generating capacities in Russia and the CIS, building on Hevel's solar portfolio, already largest in Russia. Hevel operates 711MW of solar capacities in Altay, Bashkiria, Buryatia, Kalmykia, Adygeya, Astrahan, Volgograd, Orenburg, Saratov regions, as well as Kazakhstan. 54% in Hevel is controlled by Mikhail Sivoldaev, while another 46% by Vekselberg's Renova. T Plus would receive 15-16% in the joint venture, while planning to apply for the state-sponsored green energy projects with the JV. Analysts surveyed by Vedomosti noted that the merged company will have easier access to credit financing and access to state-discounted and supported projects. Other investment options, such as equity financing or strategic investors are also seen as more likely. As reported by bne IntelliNews, as Vekselberg came under sanctions, T Plus was eyed by GEH, the utility arm of Russian gas giant Gazprom. However, the deal was been called off numerous times, reportedly over disagreements on T Plus valution. The launch of massive state investment in modernisation of generation capacities has restored the value of T Plus, which became one of the main recipients of modernisation contracts in 2019.
9.2.11 Metallurgy & mining corporate news
● Gold & Diamonds
De Beers to cut prices for larger stones by c10% at its sale starting at the end of August. De Beers lowered the price of rough diamonds bigger than 1ct, a size that would normally yield a polished gem of about 0.3ct in size. The company held the price of smaller stones, as there is very little demand for them and lowering prices by a similar amount would be unlikely to spur demand. Before the price cut, De Beers had made major concessions to their normal sales rules, allowing customers to renege on contracts and view diamond in alternative locations. De Beers and Alrosa had previously tried to defend the value of the gems as the pandemic hit the sector.
109 RUSSIA Country Report September 2020 www.intellinews.com