Analysis: Mechel’s assets could be bought by Severstal, NLMK and Russian Railways

Russian metallurgical companies with a low debt burden, including Severstal and NLMK, as well as the state-owned monopoly Russian Railways (RZD) are the most likely buyers of Mechel’s assets. This opinion was expressed by analysts, polled by the ITAR-TASS.

Assets for sale

This week, general director of Mechel, Oleg Korzhov reported in an interview to the Vedomosti that the company was willing to sell any of its assets, if it was satisfied with the price. According to him, the option to sell Chelyabinsk metallurgical plant (ChMK) is considered, as is a share of it, or the whole package. Neither Korzhov, nor the company’s press centre said with what company Mechel has or is negotiating with. Korzhov believes that Mechel may "gain from the sale of assets” $2-3 billion.