Norilsk Nickel sales 39.32% stake in Bystrinskiy project

As a basis for this transaction, the project is being valued at $730 million on a 100% equity basis that corresponds to the valuation used for the acquisition of a 10.67% stake in the project by a group of Chinese investors Highland Fund in June 2016. The valuation of the project in the transaction will be adjusted to $750 million if Highland Fund makes an additional payment of $20 million in exchange for an issue of 2.66% new shares of the project pursuant to previously signed agreements.

Following the closing of the transaction the company will retain a stake of above 50% and remain the operator of the project.

The transaction will be subject to a right of first refusal by Highland Fund, as well as certain other pre-conditions and necessary regulatory approvals. The transaction is expected to close by the end of 2017.