Fixed Income Analysis /

Weekly Credit Risk Monitor

    Tellimer Research
    7 July 2017
    Published byTellimer Research
    Credit in Focus: Sistema – Ghosts of the past return
    On 2 May Rosneft filed a lawsuit against Sistema in relation to the latter’s former ownership of Bashneft, which was privatised in 2009 for US$2.5bn and was taken away by the state in late 2014 due to allegations of an improper privatisation process. Rosneft subsequently bought a majority stake in Bashneft from the state. In the lawsuit, which seeks damages of RUB170bn (US$2.6bn), Rosneft accuses Sistema of moving/under-selling assets of Bashneft when it was under Sistema’s control and the amount of damages sought reflects the value lost due to these transactions, according to the filing.