Get the latest updates as we post them — right on your browser

. Last Updated: 07/27/2016

Business in Brief

Gazprom Venture Formed

Two units of Gazprom formed a joint venture to process associated gas, which is produced alongside crude oil, Gazprom Neft said Thursday.

The venture, between Gazprom Neft and Sibur, will process 1 billion cubic meters of associated gas a year from the Yuzhno-Priobskoye field, Gazprom Neft said. (Bloomberg)

Vyborg Wins Gas Field Deal

The Vyborg Shipbuilding Plant has won a 59 billion ruble ($2.3 billion) contract from Gazprom to build drilling platforms for the Shtokman natural gas field, Vedomosti reported Thursday.

Under the contract, the plant will deliver two offshore drilling rigs within three years, Gazprom deputy CEO Valery Golubyov told the newspaper. Gazprom may order four more platforms for the Shtokman project from the factory, Vedomosti said. (Bloomberg)

Coal Production Increases

Coal production increased 3.6 percent in July from a year earlier, the State Statistics Service said Thursday.

Russia mined 176 million tons of coal from January to July, 0.1 percent less than in the same period a year earlier, the service said in a statement. (Bloomberg)

VimpelCom Coverage

Wireless company VimpelCom will be present in all regions of the country and all former Soviet countries by the end of 2008, the company's executive vice president, Nikolai Pryanishnikov said, Interfax reported Thursday.

The company is ready to buy "everything that is being sold for a good price," Pryanishnikov told reporters.

VimpelCom has bought 12 companies over the past four years, including six in former Soviet countries and is now present in 75 regions of Russia, Interfax said. (Bloomberg)

Comstar's Regional Buy

Comstar United Telesystems, a telecommunications company, may buy a fixed-line operator based in Kostroma, Kommersant reported Thursday, citing unidentified people in both companies.

Comstar is in talks to buy 70 percent in Kostroma City Telephone Network to strengthen its position in the regions, the newspaper reported. The stake may cost $43 million, Kommersant said. Kostroma City Telephone has 95,000 subscribers. (Bloomberg)

Sky Link Stake May Be Sold

Sistema may sell a stake in mobile phone company Sky Link to its suppliers to repay debt for delivered equipment, Vedomosti said Thursday, citing Sistema CEO Alexander Goncharuk.

The company, which controls 50 percent of Sky Link, has held talks with Huawei Technologies, ZTE and Alcatel-Lucent, the newspaper reported.

Sistema and Sky Link's other shareholder, Danish businessman Jeffrey Galmond, may sell up to a 25 percent stake, Vedomosti reported. (Bloomberg)

RusHydro Annual Net Rises

RusHydro, the country's largest hydropower producer, said Thursday that profit jumped more than eightfold last year as electricity demand surged and the government allowed prices to rise.

Net income surged to 17.3 billion rubles ($670 million) from 2.03 billion rubles a year earlier, the company formerly known as Hydro-OGK said on its web site. (Bloomberg)

Magnit Increases July Sales

Magnit, the country's second-largest supermarket chain, said sales jumped 45 percent in July from a year earlier as it opened new stores.

Net retail sales in dollar terms increased to $306.10 million from $214.80 million in July last year, the company said in a statement Thursday. Magnit opened 20 stores in the month, boosting the total to 2,029. (Bloomberg)

M.Video Plans IPO

M.Video, an electronics retailer, may raise as much as 5 billion rubles ($195 million) in an initial public offering later this year, Interfax reported Wednesday, citing a bank prospectus for the company's bond sale.

M.Video may also decide to sell a stake to a strategic investor, the news service said, citing a prospectus by Gazprombank that is organizing the bond sale. The prospectus mentioned Kesa Electricals' French unit Darty as a potential investor, Interfax said. (Bloomberg)

H&M to Open in '08

Hennes & Mauritz, Europe's second-largest clothing retailer, plans to open its first Russian stores next year, Kommersant reported Thursday.

The first outlet will open in the second half of 2008 in Okhotny Ryad mall, within walking distance of the Kremlin, the newspaper said, citing an unidentified person close to the mall's shareholders. Stockholm-based H&M is holding discussions about renting space at Okhotny Ryad, Olga Arkhipova, head of rentals at the mall, told Kommersant. (Bloomberg)