MECHEL STEEL GROUP WINS AUCTION FOR KUZBASS POWER PLANT

摘要

The Mechel steel group won a fiercely contested auction for 93.35 percent of the shares in South Kuzbass State District Power Plant on March 29, the Unified Energy System press service said on March 29. Mechel, which is the main consumer of the power plant's electricity and had been considered the favorite to land the asset, bid 6.9 billion rubles - 2.9 billion rubles above its starting price, which was 4 billion rubles. Mechel bid against two other companies, one of which was the Novosibirskenergo power utility, a source familiar with the auction proceedings said. The third bidder was called Joint Investment Company, which this source said also acted on Mechel's behalf. But another source said he thought Evraz Group was behind the third bid.