RDIF pays $137.5 mln for EnelOGK-5 stake

Interfax: Russia & CIS Energy Newswire, 16.03.2012

The Russian Direct Investment Fund (RDIF), part of a consortium of investors that have bought 26.43% of power generation company EnelOGK-5 (RTS: OGKE) shares, paid $137.5 million, the fund said in a press release.

The total cost of the deal consists of fixed payment of $625 million and an additional amount of $125 million. Based on that, the RDIF effective share in the power company's charter capital is around 5.8%.

RDIF General Director Kirill Dmitriev said earlier that the fund would have a quarter share in the consortium.

The contribution of the other consortium members - Xenon Capital Partners' Rusenergo Fund and Macquarie Renaissance Infrastructure Fund - is $487.5 million "which enabled RDIF to raise over 3.5 dollars in investment for each dollar of its investment," the release said. The investment of each of these consortium members has not been separately disclosed.

The deal was approved at a Inter RAO UES (RTS: IRAO) board meeting on March 15 2012. The purchase agreement was signed Friday.

The deal will be finalized within 30 days of receiving Federal Antimonopoly Service approval.

The investment consortium will partner up with Italian company Enel, the controlling shareholder of EnelOGK-5.

Inter RAO plans to put the proceeds into investment programs "focused on constructing power generating facilities in Russia for implementation of power supply contracts."

The Russian Direct Investment Fund was registered in mid-2011. It is a wholly owned subsidiary of Vneseconombank. The Russian government plans to invest $10 billion in the fund over five years.

EnelOGK-5 is registered in Yekaterinburg and includes the Nevinnomysskaya, Konakovskaya, Sredneuralskaya and Reftinskaya power stations, located mostly in the Urals and also in the center and southern Russia. Consolidated capacity is 9,562 megawatts. Enel owns 56.43% of the generating company.