BP Reaches Deal to Sell Russian Assets to Rosneft - NYTimes.com

BP Reaches Deal to Sell Russian Assets to Rosneft - NYTimes.com: "LONDON — The British energy giant BP said on Monday that it had reached an agreement with the Russian state oil company Rosneft to sell its 50 percent stake in TNK-BP.

Under the terms of the deal, BP would receive $17.1 billion in cash and the rest in Rosneft shares.

“Exactly in line with fair value,” Stuart Joyner, an analyst with Investec in London, said of the price, “which is a good achievement.”

The deal is conditioned on the Russian government selling a 5.7 percent stake in Rosneft to BP for $4.8 billion. With the British company’s existing 1.25 percent stake in Rosneft, the two steps of the transaction would give BP a 19.75 percent stake. The British company says it also expects to have two seats on Rosneft’s nine-member board."

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