Russia could raise between $750 million and $1.25 billion by floating a 25 percent stake in shipping giant Sovcomflot this year or in 2012, sources close to the placement told Reuters on Friday.
"The company is provisionally valued at $3 billion and higher so floating 25 percent would mean $750 million," one of the sources said. Another source said Sovcomflot could be valued at close to $5 billion.
Sovcomflot is on the government's privatisation list for this year and a deal could happen as planned if the initial public offering happens in London, one of the sources said. A New York offering would be more likely in 2012.
The government has selected Morgan Stanley as one of the lead managers for the offering.
Source: Reuters
