Page 209 - RusRPTMay21

9.2.13 Other sector corporate news
Russia’s biggest petrochemicals company Sibur on April 23 announced the acquisition of a controlling stake in the processing operations of oil and gas refiner Taif. The company says will eventually make it one of the world’s top producers of polymers and synthetic rubber. Under the terms of the deal Taif investors will receive a 15% stake in Sibur. Sibur is expected to consolidate the remaining stake within a few years, Dmitry Konov, chief executive said. The deal will boost Sibur’s annual production capacity 40% above 2020 levels to more than 7.2m tonnes, according to the company. The agreement comes in the middle of Sibur’s $19bn production expansion push and as it decides on when to launch an initial public offering. Leonid Mikhelson, Sibur’s main shareholder, said in February that timing “wasn’t bad” for an IPO, days after chief financial officer Peter O’Brien told the FT an offering was on hold for the next two years. The deal expands not only Sibur’s capacity but also the eastern Russia-focused geography, giving it a strong foothold in central Russia, with greater access to the European market. China’s Sinopec and Silk Road Fund’s 10% stakes in Sibur will each be reduced to 8.5%.
209 RUSSIA Country Report May 2021 www.intellinews.com