9 Oct 2019 16:03

FAS clears Delo to buy 50% plus 2 shares in TransContainer, with prescription

MOSCOW. Oct 9 (Interfax) - The Russian Federal Anti-monopoly Service (FAS) has cleared Sergei Shishkarev's Delo Group to buy a 50% plus two share stake in rail container freight provider TransContainer , the group's press office said.

"We are grateful to the FAS for considering our request very quickly and for constructive engagement," said Igor Yakovenko, general director of the Delo Management Company.

But the FAS also issued a prescription to Delo and TransContainer "in keeping with established practice for safeguarding competition in the transport sector."

As at June 30, 2019, TransContainer owned and leased more than 27,000 flatcars and more than 74,000 ISO containers. It had a network of terminals in Russia, at 38 stations, and Slovakia. TransContainer also owns 50% of Kedentransservice, with 19 railway terminals in Kazakhstan, and holds stakes in subsidiaries and joint ventures in various countries.

The company's major shareholder with 50% plus one share is United Transportation and Logistics Company, established by Russian Railways, Belarussian Railway and Kazakhstan Temir Zholy. VTB , which has a forward contract with an outside investor, owns 24.84% of shares and a 24.74% stake is held by Enisey Capital, owned by Roman Abramovich and Alexander Abramov.

An auction for the 50% plus two share stake in TransContainer is planned for November 27. The starting price is 36.159 billion rubles. This will be raised initially by 141 million rubles followed by bid increments of 200 million rubles. Applications to bid must be submitted by November 15. A deposit of 3.6159 billion rubles or 10% of the starting price is payable. The company that makes the highest bid wins. The purchase price will incorporate any adjustments stipulated by the agreement.

It emerged at the end of August that the FAS had allowed Enisey Capital to buy a controlling stake. Delo filed its request for clearance in the middle of September. Asked whether Delo would participate in the auction for the sale of on its own, the owner of the holding, Sergei Shishkarev, told journalists: "On our own, for now." If the group wins the auction, it will use borrowed funds to acquire the stake, he said. "The terms of financing are still being finalized," Shishkarev said.