HONG KONG/MOSCOW (Reuters) - RUSAL , the world's top aluminum maker, took a $1.4 billion hit in its 2011 financials on Monday on the value of its stake in Norilsk Nickel , whose fate is at the centre of a row between two Russian billionaire shareholders.
HONG KONG (Reuters) - RUSAL, the world's top aluminum maker, posted a 92 percent drop in yearly net profit, hit by a write-down in the value of its stake in miner Norilsk Nickel as it grapples with a damaging row over its future between two Russian billionaires.
A top shareholder in UC Rusal on Wednesday urged the aluminum giant's chief Oleg Deripaska to accept a sweetened new offer for the company's stake in the nickel miner Norilsk Nickel.The world's largest nickel producer last week offered Deripaska $12.8 billion (9.4 billion euros) for 20 percent of his shares in the company.The deal would have left Rusal holding a five-percent stake in Norilsk and ended a bitter battle for control of the Arctic giant's dividends payments and expansion strategy.
Norilsk Nickel shares soared Wednesday after the world's biggest nickel producer announced a major shares buyback programme following its failure to acquire a 25-percent stake in the company owned by a Russian rival.Russia's high-stakes mining dispute came to a boil on Tuesday evening when UC Rusal -- the aluminium giant controlled by the billionaire Oleg Deripaska -- rejected Norilsk's 12 billion dollar offer for the shares.
Russian miner Norilsk Nickel said on Monday it could up its offer to buy out aluminium giant UC Rusal's stake in the company to put an end to squabbling over control of the world's largest palladium and nickel producer."Norilsk Nickel management is ready to discuss a possibility of increasing the price of the offer," the company said in a statement without giving a precise figure.Earlier this month Norilsk Nickel said it is ready to buy out Rusals' 25-percent stake in the company for 12 billion dollars.
Norilsk Nickel, the world's largest producer of nickel and palladium, said on Monday that it has suspended an estimated $3.5 billion buyback programme following a Caribbean court order.A court in St. Christopher and Nevis has prohibited Norilsk Nickel's Corbiere unit from "taking any corporate action to complete the tender offer" for shares of Norilsk Nickel, the metals company said in a statement.The buyback offer is opposed by aluminium giant UC Rusal which holds a 25 percent stake in Norilsk Nickel.Corbiere plans to contest the court order, Norilsk Nickel said.
RUSAL, the world's top aluminum maker, posted a 92 percent fall in yearly net profit, hit by a write-down in the value of its stake in miner Norilsk Nickel as it grapples with a damaging boardroom row ...