The Russian oil company Rosneft is expected to embark on a venture to raise approximately 3 billion dollars in the coming months, which will be used to acquire the assets of the bankrupt competitor Yukos, stated an unnamed banker involved in the entire financing arrangement who wished to remain anonymous.
The funds will be raised through a loan and the issuance of bonds. These transactions will also refinance part of the 24.5 billion dollar bridge loan that Rosneft received last year from a consortium of banks led by ABN Amro Holding NV, Barclays Plc, Calyon, Citigroup Inc., Goldman Sachs Group Inc., JPMorgan Chase & Co., and Morgan Stanley. The same seven banks will arrange a new loan of up to 2.5 billion dollars. The guarantee for the loan repayment will be export contracts involving oil.
For the realization of the bond issuance worth 500 million dollars, arrangers have not yet been selected. After Yukos went bankrupt due to massive debts to creditors, primarily the tax authority of the Russian Federation, Rosneft is taking a leading role among Russian oil companies. Rosneft produces more oil than Algeria, and it further strengthens its position through acquisitions. Three years ago, it acquired Yuganskneftegas from Yukos and last year it took over the Siberian oil producer Udmurtneft from British Petroleum, writes Bankamagazin.
