Crispian Investment Ltd billionaires Roman Abramovich and Alexander Abramov plans to increase its stake in MMC Norilsk Nickel to 6.3%, buying the company 0.8% of quasicanonical shares. Crispian proposal the Board of Directors of Norilsk Nickel will be discussed on April 18, reported the press service of MMC. Before Council session the decision to sell the package to discuss an independent Director on the audit Committee.
Quasicanonical package appeared at Norilsk Nickel during buy back in 2015. The company spent to repurchase its own shares for $195 million Crispian made an offer at the price of us $12.6 per ADR, or $158 million for the entire package. The price is determined on the basis of the average share price for the five days 4th to 8th April, is told in message GMK.
Tuesday as of 12:30 GMT 0,8% of Norilsk Nickel Moscow exchange was worth $164,2 million is 4% more expensive suggestions Crispian.
Crispian now controls 5.5% of shares of Norilsk Nickel. Abramovich became the Nickel capital of the company in 2013 to settle a conflict between two major shareholders of MMC is the owner of “Interros” (30,3% GMK) head Vladimir Potanin and UC Rusal (27,8%) Oleg Deripaska. In addition to the minority stake Crispian had the opportunity to vote 15% of shares of “Norilsk Nickel” belonging “to Interros” and Rusal, which have been translated into a special escrow account. The shareholders of MMC also agreed to pay dividends at 50% of EBITDA, but not less than $2 billion on 4 April, Norilsk Nickel announced a change in dividend policy, which will be linked to the level of debt of the company.
The representative of Rusal said that the company Deripaska supports Crispian increase the package in “Norilsk Nickel”. “This is very positive in itself that one of the major shareholders the company believes in its prospects and future growth. For the “Norilsk Nickel” sale of treasuries — this is a very timely additional cash flow,” said the source. The representative “Interros” has not yet responded to the request .
The increase in the share of Crispian will not change the impact of Abramovich in Norilsk Nickel, but will be a good investment, if the transaction for the sale of 0.8% quasicanonical of shares held at the offer price, said Andrei Lobazov from Aton. If such a package were purchased from the market, the buyer would have to pay a premium, says the analyst. “Norilsk Nickel” for the transaction account may reduce the level of debt or to allocate money for payment of dividends, added Lobazov.