UES Plans to Start Selling TGK-11 Stake

Unified Energy System said Thursday that it would start selling the state's stake in power generator TGK-11, whose consolidation state-run Rosneft is seeking to block in court.

UES will accept bids for as many as 148 billion shares in TGK-11 on Friday until 5 p.m., the utility said in a statement. That is 29 percent of the Novosibirsk-based generator's outstanding shares, according to Bloomberg data.

The lawsuit brought by Rosneft threatens TGK-11's ability to raise funds through share sales for new power plants in the oil-rich Tomsk and Omsk regions, UES chief executive Anatoly Chubais said last week. Rosneft says it was not informed of a December shareholder meeting that led to the dilution of its holding in TGK-11 units.

The sale will be completed after Rosneft's court case is resolved, an official with Metropol, which is organizing the sale, said Thursday.

Rosneft spokesman Nikolai Manvelov declined to comment on the sale.