Russian Government Raises $820 million in ALROSA Stake Sale
July 10, 16
(IDEX Online News) – The Russian government is thought to have raised around RUB52 billion ($820 million) from the sale of a 10.9 percent stake in diamond producer ALROSA, according to a report on Reuters.com.
The government went ahead with the sale as it sought to bolster its finances following a drop in oil revenues, and the share issue is the largest privatization in four years.
It was not initially clear how much of the demand came from foreign institutional investors, who since the imposition of Western sanctions and falling oil prices have largely shunned investment in Russia.
Other Russian companies slated for privatization includes oil companies Rosneft, Bashneft, VTB Bank and shipping company Sovkomflot. The Rosneft sale is expected to raise around $11 billion, but is also thought to be more complicated than that of ALROSA.