Novatek offers Sibneftegaz buyback

Offer: made by Novatek

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By News Wires

 21 January 2011 15:41 GMT

Russian group Novatek, which bought 51% of Sibneftegaz from Gazprombank last month, has made a mandatory offer for the remaining 49% of the company, according to a Eurobond prospectus.





Russian law requires Novatek, the nation's largest independent gas producer, to make a buyback offer to Sibneftegaz minority shareholders at the market price.



Fellow Russian independent gas producer Itera owns almost the entire stake, with a 48.9% shareholding.



"While we do not believe that ... Itera will tender their shares in Sibneftegas in connection with such mandatory tender offer, but there can be no assurance that they will not elect to do so," the prospectus obtained by Reuters today said.



Novatek offered 25.8 billion…

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