Share in Uralkali bought classmate of the owner of “URALCHEM”

A change of partner

ONEXIM sold 20% of Uralkali structures close to the owner of “URALCHEM” Dmitry Mazepin, said on Friday ONEXIM representative Andrei Belyak.

But the representative of “URALCHEM” (owns 19.99% of Uralkali) later clarified that, in fact, the buyer was a partner Mazepin — Belarusian businessman, Dmitriy of Lobak. “We have long and good cooperation with Dmitry Globacom and his companies on a number of projects related to the supply of our products,” he said. According to him, Lobak has “extensive experience in the area of mineral fertilizers: in particular, this businessman owns the Minsk company “Juras oil”, the official dealer of “URALCHEM” in Belarus.

On the website “Juras oil says only that it was founded in 2004 and now delivers chemical products for such major chemical companies as “Gomel chemical plant, Grodno Azot and Naftan”.

Mazepin and Lobak can be long-familiar: on the website of the Belarusian Union cadets and the cadets, you can find the information that they at the same time – in 1985 he graduated from the Minsk Suvorov military school, where he even served in the same company.

In Russia, according to SPARK-Interfax, Labaka only one asset – a 17% stake in the company “Verkhnekamskaya Electromechanical plant (vemz), which was registered in Solikamsk, where the mines of Uralkali. The scale of the business is difficult to judge – the company was established only in June 2016. Another founder vemz – Eugene shavel (also owns 17%) were also familiar with Mazepin since Suvorov military school

“I sincerely hope that the relations between the “Urashima” and the new shareholder of “Uralkali” will be no less constructive than with the previous shareholder group “ONEXIM”, — said the representative of “URALCHEM”, stressing that Lobak not affiliated with Urashima”.

The amount of the transaction representatives of ONEXIM and URALCHEM does not comment, Globacom or his representative could not be reached.

News about the deal of Uralkali’s shares on the Moscow stock exchange rose by 0.8%, market capitalization amounted to 534,35 billion. on this Basis, the cost 20% of the company amounted to 106,87 billion, or $1.67 billion (at the exchange rate on 8 July). A source close to one of the parties to the transaction, told RBC that the package ONEXIM sold for about $1.7 billion. But the sources of “Interfax” and Reuters claim that it was sold with a “significant premium” to the market. According to them, the shares are paid partly in cash and partly by transfer to the buyer of ONEXIM obligations on the loan. According to Reuters, the deal was financed by Sberbank. The representative of Sberbank does not comment on it.

The share of ONEXIM in Uralkali was laid for the REPO, told earlier a source of RBC. The size of the debt, according to him, amounted to about $2 billion Initially, the lender was VTB, but in 2016 ONEXIM refinanced the loan in the savings Bank.

April 2016 51,05% of shares of “Uralkali” was on the balance of his “daughter” — company “Uralkali-Technology”, about 40% are divided between URALCHEM and ONEXIM Mazepin Prokhorov, another of 8.96% remained in the free float (since then, this share has decreased on 0,92%).

Belarusian conflict

ONEXIM group of Mikhail Prokhorov and URALCHEM became the shareholders of “Uralkali” in 2013, buying the accounting period by 47.09% of the company’s shares from Suleiman Kerimov and his partners. The reason for the sale was the conflict with Belarus, Uralkali refused to sell its products through the joint venture with Belaruskali — Belarusian potash company (BPC, controlled more than 42% of the world market) and decided to increase the sales instead of keeping the price.

The exit of Uralkali from the BPC has provoked a collapse of quotations of world potash producers, and an international scandal. With sharp criticism to the owners and management of Uralkali fell after the President of Belarus Alexander Lukashenko. And in August 2013, after talks with Belarusian Prime Minister Mikhail Myasnikovich, the General Director of “Uralkali” Vladislav Baumgarten was arrested on suspicion of fraud. Kerimov with partners were eventually forced to sell the company.

It is unknown how many ONEXIM paid for its stake in Uralkali (27%). But if he took out a loan on the same terms that URALCHEM (19.99% of cost him $3.8 billion), you could spend about $5.1 billion during one of the reverse stock buybacks announced by the company, the group has reduced its share to 20%: it had sold about 7% for $700 million and about RUB 1 billion, ONEXIM received in the form of dividends, wrote “Vedomosti”.

In early June, Bloomberg news, citing two sources reported that ONEXIM is negotiating with “Urashima” on the sale of a stake in Uralkali. One source noted that the parties discussed including the option of selling shares of ONEXIM directly Uralkali. The group would like to recover their investment in Uralkali $4 billion, he pointed out. In mid-June, the source told RBC that the Bank has issued under this transaction is approximately $1.7 billion.

In the case of a redemption of shares by ONEXIM “Uralkaliy” the debt load the company would have grown so much that exceeded the default covenants on pre-export loan, says the analyst, said Raiffeisenbank analyst Konstantin Yuminov. Therefore, this idea was abandoned, he said. At the end of April, Uralkali obtained a loan from 16 international banks for a $1.2 billion Net debt at the end of 2015 amounted to $5,38 billion, or 2.8 EBITDA.

The emergence of a Belarusian businessman among the owners of Uralkali is unlikely to lead to the restoration of cooperation with Belaruskali” BPC, said Yuminov: there is now excess capacity for the production of potassium, such a cartel will not be able to dictate prices.

That shareholders “Uralkalija” “almost every month” asking for a meeting the President of Belarus Alexander Lukashenko said at the end of June. Then the representative of URALCHEM said that “business contacts” with the Belarusian authorities and the leaders of the “Belaruskali” has not stopped in recent years. On Friday the General Director of “Uralkali” Dmitry Osipov refused to comment.

In early July, the newspaper “Vedomosti” with reference to sources wrote that ONEXIM sells all Russian assets, including shares in UC Rusal and Uralkali, as well as the RBC media holding. The General Director Oneksima Dmitry Razumov, commenting on this information, said that “to do based on the fact of negotiations to a conclusion about “sale of all assets in Russia” incorrect”.

In the preparation of this article participated Tofanyuk Elena and Natalia Derbysheva