30.01.2018

The AHRF made the first deal acting as an investment adviser Sibgyprobum was sold to the investor of the same sector of industry from Petersburg

The Auction House of the Russian Federation (AHRF) acted as the investment adviser of the Government of the RF as part of searching for a strategic investor for a federal block of shares of JSC Institute for Designing of Enterprises of Pulp and Paper Industry of Siberia and the Far East (JSC Sibgiprobum).
By the Order of the Government of the RF of 25 January, 2018 №78-р a buyer of 100% block of shares of JSC Sibgiprobum was approved. The buyer is the largest Russian pulp and paper company – JSC Ilim Group.
Cost of the deal is 83 million rubles.

Under the terms of the Contract the Investor is obliged to:
• preserve work positions at the enterprise;
• develop the company as part of that sector of industry and provide a long-term effect as additional tax revenue;
• preserve real estate of the enterprise;
• involve investments for providing upgrading and technological development of the enterprise in accordance with a long-term development program for the period of 2015-2020.

“For the first time the AHRF acted as, in fact, investment bank, who sells the federal shares beyond a large-scale privatization.
For more than one year we were engaged in precise selection of an applicant for the block of shares. The results of selection were summarized on 11 of September, but up to this date the Government has been studying carefully the applicant and at last made a positive decision. We are happy with the deal results. The Ilim Group is the best decision for preservation of a single operating design institute for a deep chemical recycling of wood on the territory of Siberia and the Far East”, told Anzhelika Imanova, Deputy General Director of the AHRF.

For reference:
Sibgiprobum has been working in the market since 1956. The main activity is carrying out of research, design, engineering and scientific works in timber, woodworking, pulp and paper industry sector. According to data of 2015 the enterprise proceeds was 80.9 million rubles. The Institute owns a real estate in different districts of Irkutsk: 3 land plots with a total area of 1.6 ha with structures located on it.