The Board of Directors of Norilsk Nickel has approved of the sale to Crispian Investments Limited of 1250075 ordinary shares (constituting 0.79% of the total share capital of the company) for a total of $158 million.
On April 11, the company received an offer from Crispian in respect of the transaction. After careful consideration of the transaction and other matters, the audit committee of the company, consisting of two independent directors, unanimously recommended to the board of directors of the company to approve of the transaction. The board, having considered the recommendation of the audit committee and other matters, unanimously approved of the transaction and the entry into legally binding agreements in respect of the transaction.
Pavel Fedorov, the first vice-president and executive director of Norilsk Nickel, commented: “In view of the challenging commodity market environment, the management continues to pursue all opportunities aimed at strengthening the balance sheet of the company. This transaction was unanimously approved of by the board and manifests the confidence and support of one of our anchor investors in the long-term development strategy of Norilsk”.
Sergey Bratukhin, a director of Norilsk Nickel nominated by Crispian, commented, “We are a long-term investor into Norilsk Nickel and are confident in the prospects of the company. We consider an acquisition of the quasi-treasury stake from the company as an attractive opportunity which is fully in line with our investment strategy.”
Following the closing of the transaction, the stake of Crispian in Norilsk Nickel will increase from 5.5% to 6.3%. (Ukrainian metal)