Russian Technologies to buy 12% of Kamaz with VTB, VEB loans at double market price
MOSCOW. May 19 (Interfax) - The state Russian Technologies (Rostekhnologii) corporation will buy a 12.12% stake price with loans from VTB and Vnesheconombank (VEB).
The minutes of a Russian Technologies board meeting of April 29, published in the Marker journal, say that the corporation will buy the shares based on a valuation of $2.5 billion for the whole company. The price tag on the 12.12% would therefore be $303 million, while the block of shares was worth $141.4 million at RTS prices for May 19.
VTB will open a one-year credit facility of up to $210 million for Russian Technologies at not more than 7% pa. VEB will issue a one-year loan of up to $140 million at not more than 7%.
Russian Technologies will increase its stake in Kamaz to 49.9% from 37.8% as a result. A Kamaz shareholders' agreement states that the corporation is unable to increase its stake to controlling.
Russian Technologies is buying the shares from Troika Dialog, which owns 39.4% of Kamaz. Germany's Daimler and the European Bank for Reconstruction and Development (EBRD) own 15% between them.