More farce on the Sibir Energy front - but this time not necessarily of its own making.
Renaissance Capital, the Russian investment bank, said on Friday it was making a tender offer for Sibir stock on behalf of Gazprom Neft, which ranks as Russia’s fifth-largest oil producer, potentially taking its stake up to 29.9 per cent.
Trouble is, there’s no offer price:
Shareholders of Sibir are invited to contact Renaissance Capital and offer their shares for sale, indicating the price and other material terms at which they are prepared to sell. The price at which shares will be purchased will reflect the level of interest shown by Sibir shareholders in this offer for sale, the size of the block of shares offered by a shareholder and the discretion of Renaissance Capital. All purchases need not be at the same price. No assurances can be given as to when this invitation to offer may lapse and Renaissance Capital reserves the right not to accept any offer. Renaissance Capital understands that the London Stock Exchange will shortly issue a statement regarding the ability of member firms of the London Stock Exchange to trade in shares of Sibir.
Shares in Sibir are, of course, suspended on AIM, so any purchases on behalf of Gazprom Neft will be off-market.
While foreign-registered Sibir is not subject to the Takeover Code, the company does have a 29.9 per cent bid threshold written into its statues. But Gazprom Neft has now made it clear that it does not intend to bid for the whole company. It simply wants to add to the 16 per cent holding picked up at 500p-a-share in April, when it topped a rival share offer from TNK-BP.
It clearly sees a future relationship with Chalva Tchigirinsky, Sibir’s main shareholder whose secret loan arrangements are now the subject of a High Court action by Sibir’s newly reconstituted board.
Related link:
Russian power play offers a lifeline to Sibir’s investors - Lombard
