Sale of Grodno Azot JSC equity stake to be discussed during direct talks
The tender to find an investor for the company’s privatisation was intended to be launched on July 29th, but failed to take place due to the absence of applications. Belarus’ First Deputy Prime Minister, Vladimir Semashko, underlines, “Conversation will continue as part of direct negotiations and I’ll soon be meeting a potential partner.” He stresses that attempts to cut down the price are unpromising and didn’t specify the price for the equity stake in the enterprise.Four Russian companies are showing interest in the equity stake in Grodno Azot — including Rosneft, Gazprom and EuroChem. The starting price is set at $414m and takes into account the direct supply of natural gas from Gazprom Transgaz Belarus main line to Grodno Azot.
The investor will need to conclude an investment agreement with the state to construct a new nitrogen facility and ensure the financing of the project through until December 31st, 2019 — using the company’s existing infrastructure.
