Analysis of future share prices needed during privatization of generating companies - Sechin
NOVO-OGARYOVO. April 17 (Interfax) - The planned privatization of state-owned power generating companies should take into account the share prices during IPOs as well as investment volumes and the analysis of capitalization prospects, Russian Deputy Prime Minister Igor Sechin told reporters on Monday.
"We need to do this [privatization], but we must sell effectively," he said.
"We are coming closer to discussing when to sell and how to take account of the share prices. There can be various options. For example, when Rosneft [RTS: ROSN] was conducting an IPO, the price of one share was $7.55. To this one should add investors' borrowing costs," Sechin said.
Further effort is needed to make state-owned companies more effective and boost their capitalization.
"We need to show off long-term stimuli and an upward trend. We need to work on this, that's what professionalism is about," he said.