Rosneft and partners buy Essar Oil for $13 billionStaff Writer | October 17, 2016
Rosneft and its partners today took over India's second biggest private oil firm Essar Oil in an all-cash deal valued at about $13 billion.
Acquisition Rosneft bought a 49 percent stake in Essar
The remaining 2 percent will be held by minority shareholders after delisting of Essar Oil.
The deal has an enterprise value of close to $12.9 billion – $10.9 billion being for a 20 million tons a year refinery in Gujarat and over 2,700 petrol pumps and another $2 billion for Vadinar port in Gujarat.
The deal factors in Essar Oil's debt of about $4.5 billion and about $2 billion debt with the port company.
Also, the near $3 billion dues to Iran for past oil purchases will continue to be on Essar Oil books. ■