OREANDA-NEWS. June 8, 2007. The open auction for the sale of 25.03% of OGK-5 shares owned by RAO UES of Russia was held today.

The open auction was held by OAO Alfa-Bank, the seller’s agent, in accordance with the provisions of the current Russian legislation and the decision of the Board of Directors of RAO UES of Russia dated February 9, 2007. The seller’s financial consultants were OAO Alfa-Bank and Merrill Lynch International. Participation bids were admitted from March 27 to May 28.

The starting price at the auction, which was equal to the market value determined by an independent appraiser, was set at 24.658 billion RUB. The bid increment was 200 million RUB, while the first increment was 342 million RUB.

Both Russian and foreign strategic investors showed interest in the auction. The auction participants were E.ON Russia Power GmbH, Enel Investment Holding B.V., Rusal Energy Limited and OAO NOVATEK.

Enel Investment Holding B.V, which proposed the highest price – 39.2 billion RUB, won the auction.

The winning proposal was by almost 60% higher than the starting price.

After the auction was closed, a protocol of auction results and a share purchase agreement for 25.03% of OGK-5 shares were signed by the winner, Enel Investment Holding B.V. The auction conditions stipulate that the winner becomes the holder of the purchased stake after it receives approval of the Federal Antimonopoly Service of Russia and pays for the whole stake within 50 calendar days after the purchase contract was executed.