RusHydro Increased Its Shareholding in Yakutskenergo to 27.21%
JSC RusHydro (ticker symbol: RTS, MICEX, LSE: HYDR; OTCQX: RSHYY) announces that as a result of execution of pre-emptive right by its shareholders during the ongoing share issue, the Company received 198,856,290 ordinary shares of JSC Yakutskenergo (or 2.5% of its voting shares) as payment for its own shares in addition to 1,967,689,387 shares booked on September 27, 2011. That brings the total ownership of RusHydro in Yakutskenergo to 27.21%.
JSC AK Yakutskenergo is a subsidiary of JSC RAO Energy Systems of East. As of January 1, 2011, the installed electric capacity of Yakutskenergo is 1,453 MW, heat generation capacity - 1,697.6 GCal/h. The company comprises Cascade of Vilyuiskie hydrpopower plants, Yakutskaya GRES, Yakutskaya CHP, three electricity distribution branches that operate the electricity lines of over 20,000 km, and diesel-fired stations that are mostly consolidated in subsidiary - JSC Sakhaenergo.
Earlier, the Federal Antimonopoly Service of Russia granted permission to RusHydro to hold and manage over 75% in Yakutskenergo.
The price of one share of Yakutskenergo was approved by the Board of Directors at RUR 0.6032273765104 on August 26, 2011.
The valuation of shares was done by an independent appraiser - LLC Institute for Enterprise Issues (St. Petersburg). JPMorgan and Morgan Stanley provided their opinions to the Board of Directors of RusHydro regarding the valuations of the asset.
The Annual General Meeting of shareholders of RusHydro approved an increase of the Company's authorized share capital by issuing 89,000,000,000 additional ordinary shares with a par value of RUR 1 per share on June 30th, 2011. The Board of Directors approved a decision on additional share issue and Prospectus of the issue on July 29, 2011.
The information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of RusHydro. You can identify forward looking statements by terms such as "expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may" or "might," the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially from these statements. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industries, as well as many other risks specifically related to RusHydro and its operations.