In accordance with a resolution adopted by the UES’s board of directors in October 2006, the company’s stake in Chelyabenergosbyt has been sold simultaneously with the additional offering of its shares for the same price.

As a result of the combined sale transaction Chelyabinskoye Upravlenie Energotreidinga will become the owner of a 58.4% shareholding in Chelyabenergosbyt.

UES has said that the proceeds from the stake sale have been budgeted internally and the proceeds from the additional share offering will be used to finance an investment project to build a 120MW coal-fired combined heat and power plant in the city of Kopeisk, in Russia’s Chelyabinsk Region.