Polymetal not considering sale of Russian assets in parts - CEO

MOSCOW. Sept 21 (Interfax) - Polymetal is allowing for movement in the timeframe for sale of the Russian business and a discount on the price, but is strongly against selling assets in parts.

"Of course not," Polymetal chief Vitaly Nesis told Interfa in response to a question about the possibility of selling assets in parts. "In fact, of those preliminary expressions of interest that we have received over the last month or so, only two serious offers were for a partial acquisition. All the others, and there are more than ten of them, have been for the company as a whole. We're not even considering a piecemeal sale," he said.

Nesis did not provide further comment on the list of interested parties. "Foreign investors will want some kind of extension to the process [of approval with the authorities], and perhaps then we will not meet the nine-month deadline. But if we have a signed deal, and it's only a matter of state approval, then I think other stakeholders will understand," he said.

At the same time, the company hopes the risks attached to timing will not be so significant. "We have taken on certain obligations and must honor them," Nesis said.

"We have time - not very much, but enough so that the deal does not turn out to be a fire sale, so that the shareholders of Polymetal International can get a reasonable, decent amount for Russian assets. Obviously it we take a sober look at the situation we can't hope for the same valuation as there was in 2021. There will be some kind of discount, but it needs to be measured in percentages, not multiples," he said regarding the price.

Polymetal is Russia's biggest silver miner and one of the biggest gold miners. It has operations in Russia's Magadan and Sverdlovsk regions, the Khabarovsk Territory, Yakutia, Chukotka, and in Kazakhstan. Polymetal's largest shareholder is ICT Group owned by Alexander Nesis and associates with around 24%