(Reuters) - Russia is considering plans to sell minority stakes in major state-owned companies to raise over $29 billion in the next three years to plug budget gaps in the biggest sell-off since mass privatizations of the 1990s.
Finance Ministry sources told Reuters the government was planning to sell stakes in 10 major companies in 2011-2013, earning some 300 billion roubles ($9.9 billion) per year.
Here are details about the companies the sources said would be involved (with the size of the stake to be sold in brackets):
TRANSNEFT (TRNF_p.RTS) (27.1 percent)
The state-owned pipeline monopoly controls 50,000 km of networks and transports over 90 percent of Russia’s oil output.
Its 2009 net profit rose almost 70 percent to 121.8 billion roubles ($3.9 billion) while sales under International Financial Reporting Standards increased 28 percent to 351.05 billion.
Its volatile stock is up 12 percent in the year to date, but down 25 percent in the past three months.
ROSNEFT (ROSN.MM) (24.16 percent)
Russia’s largest oil producer, which produces over a fifth of the country’s oil, is 75 percent owned by the Russian government. Daily crude output in the first three months of 2010 rose 8.4 percent year-on-year to 2.29 million barrels per day.
The company’s free float is just 15 percent. The rest of the stock is held as treasury shares, which it bought back after raising $10.6 billion in an initial public offering in 2006.
Rosneft’s 2009 net profit fell by almost 36 pct to $6.51 billion, while revenues shrank by 32 pct to $46.83 billion.
Rosneft shares are down 21 percent in the year to date.
VTB (VTBR.MM) (24.5 percent)
Russia’s No.2 bank is 85.5 percent government controlled.
VTB made a $2 billion 2009 loss as bad loans grew but aims to earn 50 billion roubles this year after a record 15.3 billion rouble first-quarter profit followed six quarters of losses,
The bank said in June that the government might sell a stake within 12 months to return 180 billion roubles it injected last September to help the bank weather the crisis.
VTB shares are up 15 percent in the year to date, but have more than doubled from this time last year.
SBERBANK SBER03.MM (9.3 percent)
Russia’s biggest lender is 60 percent owned by Russia’s central bank. Sberbank has 20,000 branches and holds roughly half of Russia’s personal savings.
Sberbank, headed by German Gref, a pioneer of economic reforms in 2000-2007 during the presidency of Vladimir Putin, managed to stay in the black in 2009 despite the crisis.
It has forecast at least 100 billion roubles net profit in 2010 and surprised markets with a record profit of 43.5 billion roubles in the first quarter.
Sberbank’s shares have been flat in 2010 but have more than doubled in value from this time last year.
RZhD (Unlisted) (25 percent minus one share)
Russian Railways is the state-owned operator of Russia’s rail system -- the second-biggest after the United States.
It is seeking to offload assets to raise cash and could float a stake in $5 billion-valued freight operator Freight One in Hong Kong from September.
It has said it expects to turn a profit in 2010, and needed the cash to modernize its infrastructure.
FSK (FEES.MM) (28.11 percent)
State-controlled Federal Grid Company, or FSK, posted 2009 losses of 61.5 billion roubles after revaluation of its assets.
It remains vulnerable to potentially stringent electricity tariff caps as dictated by the Russian government. The state dictates how much it can charge customers to use its network.
RUSHYDRO (HYDR.MM) (9.38 percent)
Russia’s largest hydroelectric power producer is 60.4 percent owned by the government.
In July it raised 9.2 billion roubles by selling new stock to shareholders to help fund repairs after a deadly dam flood.
AIZhK (Unlisted) (49 percent)
The state-owned mortgage agency charged with the development of the home loan market is Russia’s equivalent of the Ginnie Mae National Mortgage Association in the United States.
ROSSELKHOZBANK (Unlisted) (49 percent)
The farm industry lender is one of the top 5 Russian banks by assets. It has total assets of around 900 billion roubles and got massive government support during the crisis.
Dmitry Patrushev, the 32-year-old son of Kremlin Security Council chief Nikolai Patrushev -- a close ally of Prime Minister Vladimir Putin -- is RSHB’s chief executive.
SOVCOMFLOT (Unlisted) (25 percent minus one share)
Russia’s largest shipping group specializes in oil transport and has 144 vessels. Its 2009 net profit nearly halved to $217 million, while revenue fell 25 percent to $1.2 billion.
(Compiled by Conor Humphries, John Bowker, Dmitry Sergeyev and Vladimir Soldatkin; Editing by Michael Shields)