Russia-Japan Investment Fund announces first transactions

Press release, 06.12.2017

Moscow, 06 December 2017 – The Russia-Japan Investment Fund (RJIF, launched by the Russian Direct Investment Fund (RDIF), and Japan Bank for International Cooperation (JBIC), and advised by RDIF and JBIC IG Partners, a subsidiary of JBIC) announces its first investment deals. Investments are made in the field of energy infrastructure and industrial production. The total amount of co-investment by RJIF and RDIF in these transactions is over RUB 10bn.

RJIF invested in the Russian pipeline operator, Transneft, the infrastructure through which up to 85% of the oil produced in Russia, and 26% of oil products, are transported. Previously RDIF, its leading Middle Eastern partners, and the Russia-China Investment Fund (established by RDIF and the China Investment Corporation) became the company's shareholders. Transneft adopts pipeline related equipment and technology from Japanese enterprises and the procurement of crude oil from Russia through the pipeline operated by Transneft is important for Japan.

Together with RDIF and leading funds of the Middle East, RJIF participated in the IPO of the EN+ Group, a global vertically integrated aluminum and power producer, in November 2017. The group exports a considerable amount of metal to Japan.

RJIF is currently in the process of closing a deal to invest in a leading Russian high-tech pharmaceutical company, producer and distributor of pharmaceuticals. Investments are carried out jointly with a leading Japanese corporation. The transaction is expected to close by the end of 2017.

Kirill Dmitriev, CEO of the Russian Direct Investment Fund (RDIF), said:
"We are pleased to start investment activities of the recently established Russia-Japan Investment Fund with JBIC IG Partners. I am confident that the fund's work will not only strengthen investment, trade and economic cooperation between our countries, but will also facilitate the transfer of technology and the entry of Russian companies into the promising Japanese market. We share the high interest of our partners to large-scale infrastructure projects and support their investments in such landmark companies as Transneft".

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Russian Direct Investment Fund (RDIF) is Russia's sovereign wealth fund established in 2011 to make equity co-investments, primarily in Russia, alongside reputable international financial and strategic investors. RDIF acts as a catalyst for direct investment in the Russian economy. RDIF’s management company is based in Moscow. Further information can be found at www.rdif.ru

Russia-Japan Investment Fund was established to pursue and implement attractive investment projects to promote economic, trade and investment cooperation between Japan and Russia. Priority sectors identified for cooperation include healthcare, development of smart cities and sustainable technologies, energy, cutting-edge technologies and developing industries and export in the Russian Far Eastern District, as well as other initiatives that will strengthen the trade and economic relations between the two countries. www.rjif.org

For additional information contact:
Arseniy Palagin
Russian Direct Investment Fund
Press Secretary
Tel: +7 495 644 34 14, ext. 2395
Mobile: +7 916 110 31 41
E-mail: arseniy.palagin@rdif.ru

Andrew Hayes / Elena Garside
Hudson Sandler
Tel: +44 (0) 20 7796 4133