Moscow—Russia’s Vnesheconombank (VEB) has put up for sale its 20 percent minus 1 share holding in Verkhnekamsk Potash Co. (VPC), the Acron subsidiary developing the Talitsky potash project, according to Vedomosti business daily.
The starting price for the stake is pegged at RUB10.6 billion ($184.3 million), and bids will be accepted until May 11, Vedomosti reported. The results are to be announced on May 22. Acron holds a 60.1 percent stake in VPC. It has the right of first refusal for the Russian-government development bank’s holding but has not yet decided whether to use the option, according to the Russian news agency Interfax, citing Acron Board Chairman Alexander Popov.
Acron had not responded to inquiries by press time. The group said earlier this month that while it remains committed to its long-term goal to achieve vertical integration in potash feedstock and intends to complete the Talitsky mine project in Russia’s Perm region, “due to global market changes, it needs to shift its priorities” (GM April 7, p.17). Popov indicated last December that the group may postpone the 2 million mt/y KCl project until prices recover (GM Dec. 16, 2016). Russia’s Sberbank Investments is believed to own the remaining interest in VPC.