The Norilsk Nickel group has purchased 46.2% of the additional issue shares of OJSC Wholesale Generating Company No 3 (WGC-3) wherein the interest of RAO UES of Russia has dropped to 37.1%, according to the media relations department of the company. Minority shareholders control 16.7% of WGC-3. Earlier, Norilsk Nickel announced its intention to consolidate 46.5% of WGC-3 shares as a result of the additional share issue of the company and to further increase this holding as part of an obligatory offer for WGC-3 shareholders to buy out their shares. Under Russian law, within 35 days after purchasing WGC-3 shares the Norilsk Nickel group will make an offer for shareholders of OJSC WGC-3 to purchase the company's securities at a price equal to or higher than the purchase price of the latest additional share issue. OJSC Norilsk Nickel Mining and Metallurgical Company has completed the transfer of funds to pay for the additional share issue of WGC-3, as was reported earlier. The placement price of WGC-3 shares amounted to 4.54 roubles per share. On 21 March, OJSC WGC-3 announced completion of the exercise of the right of first refusal in the course of placing its additional issue of 18 billion securities with a face value of 1 rouble. Shareholders purchased 163,656,899 shares of the company as part of exercising their right of first refusal. Thus, Norilsk Nickel as a strategic shareholder purchased 17,836,343,101 shares for 80.976 billion roubles. The placement of the additional share issue of WGC-3 began on 13 March, 2007. Once WGC-3 shareholders finished exercising their right of first refusal, the remaining stock was purchased by Norilsk Nickel which had earlier won competitive negotiations for buying shares of the generating company. WGC-3 floated 18 billion shares, which amounts to 61% of its current and 37.9% of the increased authorised capital. A Norilsk Nickel spokesperson said earlier that a company with a capitalisation of $10 billion was to be established on the basis of Norilsk Nickel's power assets. The new company was also supposed to comprise WGC-3. In 2008, all the power assets are to be united through a share conversion process and an initial public offering is to be carried out. |
