Wednesday, March 8, 2017

Russian company took over Essar Oil

Russia's state-controlled oil giant Rosneft took over India's second biggest private oil firm Essar Oil in an all-cash deal valued at about $13 billion.The all-cash acquisition, which includes the assumption of Essar Oil’s $5.5bn debt, marks the largest foreign direct investment in India to date.The deal was announced in the presence of Indian Prime Minister Narendra Modi and Russian President Vladimir Putin at a BRICS summit in Goa on October 15.Rosneft bought a 49 per cent stake in Essar Oil's refinery port and petrol pumps, while Netherlands-based Trafigura Group Pte, one of the world's biggest commodity trading companies, and Russian investment fund United Capital Partners split another 49 per cent equity equally. The remaining 2 per cent is held by minority shareholders after delisting of Essar Oil. 

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