RZD looks to boosts capitalization 100 bln rubles with GEFCO stake by 2017
MOSCOW. Dec 2 (Interfax) - Acquiring the controlling stake in French logistics operator GEFCO ought to enable Russian Railways (RZD) to boost its capitalization by 100 billion rubles by 2017, RZD said.
"Acquiring GEFCO will enable RZD to accomplish key strategic tasks to form a competitive global transport and logistics holding, raise capitalization 100 billion rubles by 2017, optimize business models (thanks to a range of services in the field of transport, logistics, supply chain and inventory management) and increase revenue from freight haulage by 40 billion rubles annually by 2017," RZD said in materials.
RZD does not give its current capitalization. The company's estimates have differed. In June, company chief Vladimir Yakunin told Interfax that selling a blocking stake in RZD in the current market situation would only have brought in 260 billion rubles (1.04 trillion rubles for the whole company). The 26% plus one share in RZD was based on a multiple of EBITDA x 6/7, which is used for similar companies, RZD has said. RZD also gave a discount for a non-controlling stake and a "poor market". If not for this, the blocking stake in RZD would have been worth over 300 billion rubles.
Yakunin valued RZD at 1.7 trillion rubles in an interview with The Independent in August 2012, but government officials valued it at even more: a Finance Ministry official told Vedomosti that 25% of RZD was worth more than 700 billion rubles, valuing the whole company at 2.8 trillion rubles, without saying what that figure was based on.
