Electricity holding company UES of Russia has sold its 100% stake in the Tyumen Energy Retail Company to Mezhregionenergosbyt, in a public auction, for a consideration of RUB5.7 billion.
The public auction was arranged by the Urals Energy Management Company (UEUK), the accredited agent, in accordance with Russian laws and the resolution of UES of Russia’s board of directors. Bids were accepted from May 21, 2008, through June 17, 2008.
The start price of the auction, equal to the fair market value determined based on the report prepared by a consortium of independent appraisers, was set at RUB3.62 billion. The price increment was set at RUB20 million.
There were two bidders for UES of Russia’s stake. After the auction, UES and Mezhregionenergosbyt signed the auction protocol and the purchase agreement.