Singapore's GIC buys around 2% of Gazprom, becoming one of company's largest foreign investors
MOSCOW. Oct 3 (Interfax) - Singapore's Government Investment Corporation (GIC) has purchased around 2% stake in Russia's Gazprom , becoming the gas giant's second largest foreign investors, a source familiar with the situation told Interfax.
The source added that GIC received the status about a year ago, and during this time the company's shares fluctuated around this figure. The source added that the fund was legally able to nominate a candidate to Gazprom's board of directors, but did not do so. According to current quotes, 2% of Gazprom is worth about $1.6 billion.
According to the Bank of New York Mellon, the ADR depositary bank, the largest investors in the monopoly are Dimensional Fund Advisors LP (1.04%), The Vanguard Group, Inc. (0.67%), Orbis Investment Management Ltd. (0.59%) and LLC Lazard Asset Management (0.56%).
Gazprom has disclosed the countries comprising its investors only once - in its 2012 annual report released in May 2013. According to this report, Singapore accounted for around 6% of the company's 26.955% of capital traded as ADR. This is equivalent to 1.6% of charter capital.
As of end-2012, 45% of traded ADR were owned by European investors, mostly Great Britain (20%), Switzerland (5%) and Germany (4%). American funds accounted for 45% of ADR.
Russia's Vnesheconombank (VEB) owns 2.7% of Gazprom's shares.
GIC belongs to Singapore's government, managing its financial assets. The government does not impact investment decisions through the Finance Ministry, instead allowing the fund to act as any entity that manages a global fund in the client's interest.
GIC previously owned around 3% of Exillon Energy, which produces oil in Russia, but sold half of its stake in the company last year for around $5 million.