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By Nidhi Verma
NEW DELHI (Reuters) - Russian oil major Rosneft, along with European trader Trafigura and Russian fund UCP, will acquire 98 percent in India's Essar Oil for about $12-$13 billion including debt, two sources familiar with the deal told Reuters on Thursday.
Rosneft will get 49 percent and the two investors -- Trafigura and UCP -- will hold the remaining 49 percent in equal parts, the sources said, adding that the valuation included about $4.5 billion in assumed debt.
The company is part of a steel-to-ports conglomerate controlled by the billionaire Ruia brothers that has faced pressure from creditors to reduce borrowing that some analysts estimate at more than $14 billion.
One source said the deal will be funded by Russia's VTB Capital, part of state-controlled bank VTB.
The Indian firm is expected to announce the deal on Saturday in the coastal resort of Goa during a visit by President Vladimir Putin, who will meet Indian Prime Minister Narendra Modi for a bilateral summit.
(Reporting by Nidhi Verma; Editing by Douglas Busvine/Keith Weir)
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)