Issue of Russia's USC purchasing Zvezda shipyard resolved in principle, but deal's dimensions still to be discussed - VTB head
MOSCOW. Dec 5 (Interfax) - The issue of folding the Zvezda shipyard into United Shipbuilding Corporation (USC) has been agreed upon in principle, and the dimensions of the future deal will be discussed after the assessment of the complex's finances, VTB head Andrei Kostin said.
"Yes, this issue was agreed upon, and the president's overall approval for selling 100% of Zvezda to USC was received. We've now signed an agreement between Rosneft [MOEX: ROSN], VTB and USC on carrying out what you might want to call due diligence or an assessment of its financial condition and expenditures. We are planning to conduct this work and look at the financial condition probably by the end of the first quarter [of 2025]. We will find an assessor and then take a look at how we'll pay. This is a contractual process. I think that the issue is essentially a foregone conclusion, but what happens next in terms of when and how much is still being discussed for now," Kostin said during an interview with the Russia 2024 television channel on the sidelines of the VTB forum. Kostin heads USC's board of directors.
Rosneft estimated the costs of building the shipyard at around 250 billion rubles, Kostin said when answering a question about the possible size of the deal.
"It's that kind of price. But we'll see if there are perhaps certain additional costs or additional minuses that arise in the near future. This is normal work. [It's] a serious purchase, serious money, so it requires a serious attitude," he said.
A consortium of JSC Rosneftegaz, PJSC Rosneft and Gazprombank are founding the Zvezda shipyard based on Far Eastern Shipbuilding and Ship Repair Center (FESRCC). Rosneft is providing the pilot load for the complex with an order for 28 vessels. The shipyard's portfolio currently includes over 60 vessels, including nuclear icebreakers of the Lider project, new-generation tankers, Arctic shuttles, gas carriers, and multifunctional supply vessels.
It emerged that Rosneft and VTB had launched negotiations on folding the Zvezda shipyard into USC in November.
USC was established by presidential decree in 2007, with 100% of its shares owned by the federal government. It has been under the trust management of VTB Bank since August 2023.
