(Clarifies paragraph 3 to say that the board is not considering
such a move)
* Onexim may sell part of stake in Rusal - sources
* Rusal considers London listing - sources
* Shares in Rusal up 30 pct so far in 2017
By Polina Devitt and Anastasia Lyrchikova
MOSCOW, Feb 9 Onexim Group, which manages the
assets of Russian tycoon Mikhail Prokhorov, is considering
selling some of its 17 percent stake in Russian aluminium giant
Rusal, two banking sources and two industry sources
told Reuters on Thursday.
Reports of a possible share sale came on the same day two
sources close to Rusal and a banking source told Reuters the
Hong Kong-listed company was also looking at listing in London.
Rusal said on Friday its board has not considered such a
Russian companies have seen a long-expected revival in
investment demand this year amid signs of stabilisation in the
country's economy situation after several years of crisis.
Three Russian firms have already raised a total of almost
$800 million in share sales in 2017, in addition to a number of
debt issues, including Rusal's own $600 million
"It is a good time for the share sale taking into account
the high interest in Russian shares. However, maximum mutual
benefit will only be reached if Onexim sells this stake via
Rusal," said Kirill Chuyko at BCS Investment Bank.
All four sources said Onexim could start accelerated book
building for the stake sale in the near future. According to one
of the banking sources, Onexim is considering selling about 5
percent of Rusal.
Onexim declined to comment.
Earlier on Thursday, sources said Rusal was considering a
London listing, with one saying the aluminium giant could offer
up to 20 percent of its shares on the London Stock Exchange.
News that Rusal's executives and bankers have discussed
selling up to a 20 percent stake in London was first reported by
Bloomberg on Thursday, citing two people familiar with the
"Rusal has a programme aimed at increasing liquidity (of its
shares) and a listing in London is being considered as a part of
it," another source close to Rusal said.
He said no decisions had been taken on timing, how much
could be offered nor whether there would be new shares.
Rusal competes with China's Hongqiao for the rank
of the world's biggest aluminium producer. Rusal's market value
has jumped 30 percent so far this year helped by global
aluminium prices, which have climbed 9 percent.
Shares of Rusal tumbled 5.4 percent in early Friday trade,
their lowest level since Jan. 25, compared with a flat broader
Russian tycoon Oleg Deripaska's En+ Group owns 48.1 percent
of Rusal, with 15.8 percent owned by Viktor Vekselberg and
Leonard Blavatnik's Sual Partners. Glencore holds 8.75
percent and the remaining 10 percent is listed in Hong Kong.
Prokhorov's Onexim was in talks to sell a Rusal stake to
Vekselberg last year but market and industry sources said this
week those talks had stalled.
At the same time, Deripaska's EN+ is considering an initial
public offering in 2017 and has already picked arrangers for the
deal, financial sources have said.
(Additional reporting by Katya Golubkova, Olga Popova and
Andrey Kuzmin, and Donny Kwok in Hong Kong; Writing by Alexander
Winning, Katya Golubkova and Polina Devitt; Editing by David
Clarke and Edwina Gibbs)