China's Fosun-led consortium to buy into Russia’s Polyus, says report

Group to acquire 25 per cent stake in Russian gold producer for US$2b

PUBLISHED : Thursday, 13 April, 2017, 10:04pm
UPDATED : Thursday, 13 April, 2017, 10:04pm

A consortium led by China’s Fosun International plans to buy between 20 and 25 per cent in Russia’s top gold producer Polyus for up to US$2 billion, RIA news agency reported, citing documents of a Russian-Chinese intergovernmental commission.

Sources with knowledge of the matter told Reuters in November that Fosun was in exclusive talks to buy a large minority stake in Polyus.

The sides have reached consensus on the parameters of a deal, RIA reported on Thursday, citing the documents. Both Polyus and Fosun declined to comment.

According to the documents, the Chinese side will have the right to sell a portion of Polyus’s gold production in line with the size of the stake which the consortium buys, RIA said.