Rostec signs $600 mln sale of 25% in Russian Helicopters

Prime News, 16.06.2016

ST. PETERSBURG, Jun 16 (PRIME) -- State industrial corporation Rostec signed on Thursday an agreement on the main conditions of sale of an up to 25% stake in Russian Helicopters to a consortium of the Russian Direct Investment Fund (RDIF) and investment funds from the Middle East for up to U.S. $600 million.

Deputy CEO of Rostec Sergei Skvortsov said: "Rostec plans to close the deal until November after due diligence. The consortium will buy about 16% of preferred shares of a new issue and 5.2% of common shares from the Tatarstan republic," Skvortsov said.

He said that the purchased stake will amount to 21.5% of shares.

In April, Industry and Trade Minister Denis Manturov said that Rostec must remain a controlling shareholder of Russian Helicopters and direct foreign participation should be restricted at 25%.

Russian Helicopters holds 85% of the local helicopter market and 14% of the world helicopter sales.