OREANDA-NEWS. UES’s board approved of the swap ratios for the consolidation of MRSK Northwest, MRSK Center-Volga and MRSK Siberia at its monthly meeting on Friday, October 26, the Alfa Bank analytic center informs. These swap ratios fully correspond to the previously announced unofficial appraisal results for these MRSKs. Meanwhile, on the back of consolidation, the relative and the respective swap ratios are more material for the market, making the absolute figures less important. Based on the swap ratios, the Alfa Bank experts believe that the preferred shares of Omskenergo, Altaienergo and Kuzbass DisCo’s common shares provide the cheapest entry points to MRSK Siberia; preferred Novgorodenergo, common Pskovenergo and Arkhenergo shares to MRSK Northwest; and both Nizhnovenergo’s common and preferred and Ryazanenergo’s common shares are the best way to get into MRSK Center-Volga.

"We remain bullish on Russian DisCos, which are still trading at huge discounts to their GEM peers, and we consider their forthcoming consolidation into MRSKs as one of their strongest catalysts," the analysts sum up.