BASF plans to transfer Wintershall’s Russian assets to co-owner – Bloomberg

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Unloading Russian energy assets from Wintershall Dea could allow BASF to reinvigorate plans for an initial public offering of the remaining business, Bloomberg said citing people familiar with the matter.

BASF declined to comment. LetterOne did not immediately respond to a request for comment.

Wintershall Dea got 53% of its first-quarter oil and gas production from Russia.

German chemical group BASF said last week it had backed out of separately listing Wintershall Dea via an initial public offering (IPO) for now due to the joint venture’s exposure in Russia, part of the fallout Russian actions in Ukraine.

BASF said at the time that it was still determined in principle to get out of the oil and gas business.

BASF had been in a dispute over when to list the company with Wintershall Dea’s co-investor LetterOne, who had so far spoken out against an IPO.

BASF owns a 72.7% stake in Wintershall Dea and the remainder is held by Letter One. The Russian investors behind LetterOne, Mikhail Fridman and Petr Aven, resigned from LetterOne’s board after the European Union imposed sanctions on them.

(Reporting by Ludwig Burger, editing by Louise Heavens)

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