2019 April 25 09:49

NCSP and VTB close the Novorossiysk Grain Terminal shares sale deal

Novorossiysk Commercial Sea Port (NCSP Group) and VTB Bank announced the closing of the transaction on the sale of a 100% stake of NCSP in Novorossiysk Grain Terminal to VTB.

The transaction was carried out within the concept of creating a single export grain operator in the Russian Federation. According to VTB Group estimates Russia’s grain exports has a great potential, and in particular the possibilities of increasing the capacity of deep-see terminals specializing in handling export grain. The acquisition of Novorossiysk Grain Terminal LLC is in line with the VTB Group’s strategy of investments in infrastructure, which incorporates various large transport and logistics assets.

VTB Bank and Novorossiysk Commercial Sea Port On February 14 reached an agreement and signed binding documents on the acquisition by VTB Group of 100% of Novorossiysk Grain Terminal LLC.

Novorossiysk Grain Terminal specializes in handling grain and oilseed cargo in Russia's southern Port of Novorossiysk. The facility is one of the largest dedicated terminals in Russia for handling grain exports. In 2018 grain exports via NGT totaled 6.33 million tonnes.

The asset sale will be taken into account in the NCTP Group’s Development Strategy until 2024.

NCSP Group is the largest port operator in Russia in terms of annual cargo throughput. PJSC Transneft is the controlling shareholder (62%) of PJSC NSCP. NCSP Group is traded on Moscow Exchange (NMTP) and London Stock Exchange as GDRs (NCSP). NCSP Group volumes in 2018 totaled 140.2 million tons. NCSP Group consists of: PJSC Novorossiysk Commercial Sea Port, LLC Primorsk Trade Port, LLC Novorossiysk Grain Terminal, JSC Novorossiysk Ship Repair Yard, JSC NCSP Fleet, JSC NLE, LLC IPP, Baltic Stevedore Company LLC, and JSC SFP.