Sale of Enel's stake in Enel Russia must be permitted by govt commission and FAS, formalization takes time - Enel Russia CEO
MOSCOW. Oct 10 (Interfax) - The Italian energy holding Enel will also need to obtain permission from the government commission on foreign investment and the Federal Anti-monopoly Service (FAS) after the Russian president approves the deal for selling the stake in PJSC Enel Russia , Enel Russia CEO Zhanna Sedova said in an interview with the Energy Policy publication.
"According to the new requirements, the approval process must be as follows in terms of legal regulation: permission from the Russian president; approval from the government commission for controlling foreign investment, which must contain the terms and conditions permitting the deal; then permission from the FAS," Sedova said.
Given how many permits need to be obtained, formalizing them takes time, Sedova said.
On the last day of September, PJSC Lukoil and JSC AAA Capital Management, acting as a trustee of the Gazprombank-Freesia investment fund, received permission to purchase Enel's stake in PJSC Enel Russia as per the decree of the Russian president.
Consequently, Lukoil will receive 9.5 billion shares in Enel Russia, and AAA Capital Management will obtain 10.4 billion shares. The charter capital of Enel Russia is divided into 35.37 billion ordinary shares. Thus, Lukoil will own 26.9% of the shares, and AAA Capital Management will own 29.5% of the shares.
The Italian energy holding Enel, which owns 56.43% of Enel Russia, announced the deal in early June, at a total amount of $135 million. Following the release of the presidential decree on permitting the deal, Bloomberg, citing an Enel representative, reported that the company had studied the document and planned to resume the deal in the coming days.
Enel Russia includes three gas power plants, Konakovskaya GRES, Nevinnomysskaya GRES and Sredneuralskaya GRES, as well as a wind farm in the Rostov Region. Moreover, the company is building a wind farm in the Murmansk Region.