Russian tycoon Alexei Mordashov plans to give 65% of his gold producer Nordgold valued at $850-900 million to his sons Kirill and Nikita.
“The key goal of the changes is succession, to bring Kirill and Nikita up to date and give them knowledge and experience in business management,” Mordashov said, adding that he would remain a large shareholder of Nordgold and would act as a mentor to his sons.
An official of Severgroup, a holding company of Mordashov through which he controls his companies, including 99% in Nordgold, said that a company called KN-Holding had asked the Federal Antimonopoly Service to allow it to acquire a controlling stake in Nordgold Management and affiliated companies that formed the business of Nordogld.
“If regulatory approval is received and if the deal goes through, KN-Holding will acquire indirect control over about 65% in Nordgold,” the source said.
According to the Unified State Register of Legal Entities, KN-Holding was registered in December 2018, and Kirill and Nikita Mordashov owned 50% each in the company, meaning they might acquire between $420 million and $490 million in Nordgold each.
Mordashov’s spokeswoman Anastasia Mishanina confirmed that his sons owned KN-Holding and although they were now studying arts, they should get acquainted with the Nordgold’s business. (Prime/Ukrainian metal)