Buyers are ready to pay $150 million for Petropavlovsk

The Russian gold-mining company Petropavlovsk may have new shareholders: a consortium of the fund Sapinda and the investment company Altera Capital of the former Deputy Minister of the Economy of Russia, Kirill Androsov are ready to buy 80% of the company’s shares through an additional issue. The negotiations are carried out by ex-CEO of En +, Artem Volynets, who represents Sapinda in Russia. The Board of Directors of Petropavlovsk, which chooses the way to restruct over $900 million of its debt, must make a decision before the end of November.

The consortium of investors led by the investment fund Sapinda, run by German, Lars Vindhorst and Rob Hersov from South Africa, is ready to participate in restructuring of the Russian gold-mining company Petropavlovsk’s debt, The Financial Times reported, referred to its sources. The consortium also includes investment fund Altera Capital of the former Deputy Minister of Economy of Russia, Kirill Androsov, and the negotiations are led by the former top manager of UC Rusal and En + of Oleg Deripaska - Artem Volynets. The consortium is ready to buy an additional issue of Petropavlovsk for $150-250 million, provided that the proceeds from this will be used to repay the company's bonds ($310.5 million), the FT writes, and to increase its stake in Petropavlovsk to 80%.