Polymetal International Sells Russian Assets In $3.69 Billion Deal

Polymetal International has announced an agreement to sell its Russian assets in a deal worth $3.69 billion, taking into account the debt associated with the Russian business, Anastasia Lyrchikova and Alexander Marrow reported for Reuters.

Under the agreed deal, Polymetal International will sell its entire Russian business to Mangazeya Plus, a division of Mangazeya Mining owned by businessman Sergey Yanchukov. I Photo: PPF Group

The decision to divest from its Russian assets comes after they were subjected to US sanctions in 2023 following Moscow's military actions in Ukraine in 2022. In August 2023, Polymetal International relocated to Kazakhstan from Jersey and listed on the Astana International Exchange to facilitate the sale.

Under the agreed deal, Polymetal International will sell its entire Russian business to Mangazeya Plus, a division of Mangazeya Mining owned by businessman Sergey Yanchukov.

The total consideration amounts to approximately $3.69 billion, with $2.21 billion representing the net debt of the Russian business.

The deal includes a cash component of $1.48 billion, with $1.43 billion in dividends from the Russian business to be paid before the sale's completion. An additional $50 million will be paid to Polymetal International upon the conclusion of the deal.

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