Gazprom, Vekselberg agree merger of power assets
MOSCOW. July 6 (Interfax) - Russian gas giant Gazprom and Viktor Vekselberg's Renova Group have decided to combine their electric power assets into what could end up being one of the country's biggest generating companies with over 50 gWt production capacity.
The parties are expected to ink a memorandum of mutual understanding on Thursday, several sector sources have told Interfax.
It is said the unification will probably be based on Gazprom Energoholding, which currently controls Gazprom's main power assets.
One source told Interfax that, after joining the joint venture IES Holding, Renova will obtain a minority stake of 25% in Gazprom Energoholding, though other sources have said that stake would be smaller.
The possibility of Gazprom making partial payment for Renova's contribution not only with a stake in Gazprom Energoholding, but with money, is under discussion now. The next step in the monetization of Renova's stake is seen to be an IPO by the holding, which is one option provided by the holding's development strategy. If the public placement is delayed, the option of Renova's stake being sold to Gazprom at an earlier agreed price is under discussion. But which of these options and what form they might take is yet unclear.