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Rosneft, Trafigura and UCP to buy India refiner for $12-$13 bln-sources

Reuters  |  NEW DELHI 

By Nidhi Verma

(Reuters) - Russian major Rosneft, along with European trader Trafigura and Russian fund UCP, will acquire 98 percent in India's for about $12-$13 billion including debt, two sources familiar with the deal told Reuters on Thursday.

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.

operates a 400,000 barrel-per-day refinery on India's west coast and sells fuels through its 2,470 filling stations in India.

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.)

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Rosneft, Trafigura and UCP to buy India refiner for $12-$13 bln-sources

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.

By Nidhi Verma

(Reuters) - Russian major Rosneft, along with European trader Trafigura and Russian fund UCP, will acquire 98 percent in India's for about $12-$13 billion including debt, two sources familiar with the deal told Reuters on Thursday.

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.

operates a 400,000 barrel-per-day refinery on India's west coast and sells fuels through its 2,470 filling stations in India.

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.)

image
Business Standard
177 22

Rosneft, Trafigura and UCP to buy India refiner for $12-$13 bln-sources

By Nidhi Verma

(Reuters) - Russian major Rosneft, along with European trader Trafigura and Russian fund UCP, will acquire 98 percent in India's for about $12-$13 billion including debt, two sources familiar with the deal told Reuters on Thursday.

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.

operates a 400,000 barrel-per-day refinery on India's west coast and sells fuels through its 2,470 filling stations in India.

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.)

image
Business Standard
177 22

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