Guinea wants some proceeds from UC Rusal IPO -FT

LONDON, Jan 26 (BestGrowthStock) – The Guinean government has asked
that part of the proceeds from the flotation of Russia’s UC Rusal
go towards clearing damages it says it is owed by the world’s
biggest aluminium producer, according to the Financial Times.

The paper said in its Tuesday edition that the government in
the West African state wrote to the Hong Kong stock exchange
earlier this month to say that its claims, reportedly $860
million, were “materially important” to any potential investors
in the $2.2 billion offering.

A Guinean court ruled in September that the sale of the
Frigua refinery to Rusal in 2006 was illegal and that the firm
was charged significantly less than the plant’s true value.
The minister of mines, Mahmoud Thiam, told the FT a lack of
settlement could affect the value of Rusal’s stock.

“Subscribers should know that, barring a settlement with
Guinea, the value of the Rusal stock they acquire might very
well be overstated,” he said.

The paper cited Rusal as saying it had nothing new to add on
the Guinea situation and that it had disclosed all relevant

“The company does not believe that any resulting liabilities
will materially affect the group’s financial position or its
operations as a whole,” a spokesperson was quoted as saying.

Rusal could not be immediately reached for comment by

Stock Market Research

(Reporting by Victoria Bryan; Editing by Phil Berlowitz)

Guinea wants some proceeds from UC Rusal IPO -FT