Deutsche Bank to buy into Yukos

MOSCOW – Yukos has received a takeover offer from the Russian subsidiary of Deutsche Bank, the company’s chairman said in a report yesterday – a move analysts said could represent a bid by state-controlled Gazprom to acquire the remaining assets of the fallen oil giant.

OAO Yukos Chairman Viktor Gerashchenko told the Kommersant business daily that he had received the offer in a letter last week from the head of the German bank’s Russian subsidiary. The bank suggested holding talks on a deal to acquire “a controlling stake” in Yukos and said it was ready to “assume responsibility” for the company’s multibillion-dollar debts, Kommersant quoted Gerashchenko as saying.Deutsche Bank representatives in Germany and Russia declined to comment.Timothy Osborne, the London-based director of GML, which manages a controlling stake in Yukos, said he had only heard of the alleged offer from reporters.”I haven’t seen it – I have no information,” he told The Associated Press.Asked if he thought it likely Gazprom was behind the alleged offer, he said “one would expect so.”OAO Gazprom, the government-controlled natural gas monopoly, declined to comment.Yukos, once Russia’s top oil producer, was brought to its knees by a government campaign that saw it crushed by back tax bills totalling nearly US$28 billion and its founder Mikhail Khodorkovsky jailed on tax evasion and fraud charges.Observers say that the Kremlin targeted Yukos as revenge for Khodorkovsky’s funding of opposition political parties and in a drive to restore a dominant state role in the strategic energy sector.State oil company OAO Rosneft acquired Yukos’ main production arm after a disputed auction in late 2004.But Khodorkovsky’s company still has other valuable assets including a major refinery and two large production subsidiaries which Gazprom and Rosneft are expected to scrap over.”Deutsche Bank is most likely acting for Gazprom,” for whom it has been a longtime adviser, said Chris Weafer, chief strategist for Alfa Bank in Moscow.”There is going to be a fairly aggressive fight for Yukos’ assets.”Nampa-APThe bank suggested holding talks on a deal to acquire “a controlling stake” in Yukos and said it was ready to “assume responsibility” for the company’s multibillion-dollar debts, Kommersant quoted Gerashchenko as saying.Deutsche Bank representatives in Germany and Russia declined to comment.Timothy Osborne, the London-based director of GML, which manages a controlling stake in Yukos, said he had only heard of the alleged offer from reporters.”I haven’t seen it – I have no information,” he told The Associated Press.Asked if he thought it likely Gazprom was behind the alleged offer, he said “one would expect so.”OAO Gazprom, the government-controlled natural gas monopoly, declined to comment.Yukos, once Russia’s top oil producer, was brought to its knees by a government campaign that saw it crushed by back tax bills totalling nearly US$28 billion and its founder Mikhail Khodorkovsky jailed on tax evasion and fraud charges.Observers say that the Kremlin targeted Yukos as revenge for Khodorkovsky’s funding of opposition political parties and in a drive to restore a dominant state role in the strategic energy sector.State oil company OAO Rosneft acquired Yukos’ main production arm after a disputed auction in late 2004.But Khodorkovsky’s company still has other valuable assets including a major refinery and two large production subsidiaries which Gazprom and Rosneft are expected to scrap over.”Deutsche Bank is most likely acting for Gazprom,” for whom it has been a longtime adviser, said Chris Weafer, chief strategist for Alfa Bank in Moscow.”There is going to be a fairly aggressive fight for Yukos’ assets.”Nampa-AP