One of the largest specialised investment funds Prosperity Capital were also questions to AFK “Sistema” in connection with the reorganization of “Bashneft”, said the Director of Fund Alexander Branis. The Fund manages assets totaling $3.5 billion since 2009 is a shareholder of “Bashneft” and at one time possessed up to 10% of its shares.
2 may “Rosneft” and “Bashneft” has submitted the claim to AFK “Sistema” and JSC “Sistema-invest” in the Moscow Arbitration court on 106,6 billion. Companies are required to compensate losses caused by “Bashneft” as a result of its reorganization in 2014, told “Interfax” a source close to Bashneft, confirmed a source in “Rosneft”. “As a result of unfair actions AFK “Sistema” company “Bashneft” was deprived of indirectly held shares of several companies, in particular JSC “BESK” and OJSC “Ufaorgsintez” — said the source “Interfax”. “Bashneft” has lost the right to debt of the group AFK “System” before the “Bashneft” and has lost part of its shares which have been redeemed, the source added .
The conditions of reorganization of JSC “Sistema-invest” was unfair, since the reorganization of the “lost” debt “Systems” to “Bashneft” confirmed Alexander Branis. He said that Prosperity Capital limited by the fact that orally and in writing expressed the claims of the representatives of the AFC. The Foundation had issues, the “System” and the earlier transactions. For example, lists Branis, Bashneft acquired its own building at AFK “System” in 2012, too expensive (3.4 billion rubles) and 50% “the Financial Alliance” (engaged in railway transportation) sold “the System” in the same year is very cheap (also in 3.4 bn).
The Fund was also unhappy with the low valuation of refining assets when they join Bashneft in 2012. However, Prosperity Capital believes that investment in Bashneft is very beneficial. “Investors in Russian companies are faced with problems of this kind, however, in the case of “Bashneft” under control of “the System” the company has changed completely,” says Branis. Now, according to him, the Fund has similar claims to the new shareholder of “Rosneft”.
According to Branis, at some point, the Fund was forced to cut the package in Bashneft due to too rapid growth of the company’s shares: they began to take up too much of your portfolio. How many shares of “Bashneft” in Prosperity, he did not disclose.
In 2014, Sistema completed the reorganization of “Bashneft”, changing the ownership structure. Prior to this, all structures of “Bashneft” has moved to a single share was sold non-core assets. At the end of 2013, Sistema owned 50.1% of the capital of “Bashneft” directly, the “System-invest” has been 25,24%. JSC “Sistema-invest” controlled by the “System” (50,6%), and 49.4% of shares of “Bashneft”. Oil company bought 25.5% of “System-invest” in 2010 for $202 million to the company Endeavour Energy Ltd (owners unknown), and then increased its share in the course of the reorganization of Bashkirenergo.
As a result of “System-invest” was allocated to “Bashneft-invest”, which received the shares of “Bashneft” and the duty of the AO to “Bashneft” in the amount of approximately RUB 36 billion “System-invest” does not conduct its own operating activities, and is used for calculations between “Bashneft” and “System,” including the duty “Systems” to the oil company, stated “Bashneft” in the financial statements. “Bashneft” bought the shares of minority shareholders who disagree with the reorganization, 17.9 billion rubles In may 2014 “Bashneft-invest” attached to “Bashneft”, and shares (16.8% of capital) was repaid. On balance “the System-invest” has remained 21.5% “Ufaorgsintez” and 90.5% in Bashkir power grid company. The only shareholder of “System-invest” has become “System”.
Overall, the reorganization of “Bashneft” in 2014 passed quietly: minority shareholders publicly expressed dissatisfaction and appealed to the court, said two analysts and a source in “Bashneft”.