KAMAZ OAO Announces Plans Of Merger With MAZ And Creation Of Joint Venture-SKRIN Newswire

SKRIN Newswire reported that Rostechnologii and the authorities of Belarus reached principal agreements about the merger of MAZ and KAMAZ OAO (KAMAZ) after half -year negotiations. According to KAMAZ's CEO, Mr. Sergey Kogogin, it is more likely that the government of Belarus will bring 75% minus one share of MAZ and Rostechnologii 49.9% of shares of KAMAZ in the joint venture Rosbelavto. Mr. Kogogin sais that initially the joint venture may be formed on parity basements but as KAMAZ is more expensive than MAZ, it will be an option for a purchase of 25% of shares of Rosbelavto by Rostechnologii. As a result the share of State Corporation in the holding will grow to 75% and it will receive a control over MAZ. The head of state corporation, Mr. Sergey Chemezov, confirmed that the last offer that was introduced is the contribution of 75% of shares of MAZ and 49,9% of KAMAZ shares in the joint venture Rosbelavto. But by the words of Mr. Sergey Chemezov, Russian party made a new estimation of KAMAZ and MAZ. 100% of KAMAZ are estimated in USD 2.5-2.6 billion and 100% of MAZ in USD 1.6-1.7 billion. He added that the deal is being discussed and it is not clear, if it would be closed till the end of year.