The Russian company «Lukoil» agreed to sell its foreign assets to the Swiss oil trader Gunvor Group, founded by Gennady Timchenko and Swedish businessman Torbjörn Törnqvist.
«Lukoil» received offers from the international company Gunvor to acquire its subsidiary LUKOIL International GmbH, which manages subsidiaries in Europe, Asia, and Africa, according to the company's statement. The company accepted the offer, committing not to negotiate with other potential buyers.
The statement notes that several conditions must be met to conclude the deal. Among them is obtaining permission from the U.S. Treasury's Office of Foreign Assets Control (OFAC) for Gunvor, as well as, if necessary, additional licenses, permits, and approvals in other countries.
The Russian oil company «Lukoil» announced its intention to sell its foreign assets due to sanctions imposed by the U.S., EU, and the UK. Three days ago, the company reported that it had begun considering applications from potential asset buyers.
Sanctions against «Lukoil», «Rosneft», and their 34 subsidiaries were imposed by the U.S. on October 23. The U.S. Treasury Department noted that the sanctions against «Lukoil» and «Rosneft» are intended to «increase pressure on the Russian energy sector and reduce the Kremlin's ability to generate revenue for its military machine and support the weakened economy».
Gunvor was founded in 2000 by Gennady Timchenko and Torbjörn Törnqvist. In 2014, Timchenko sold his share to his partner on the eve of U.S. sanctions. At that time, the U.S. Treasury claimed that Vladimir Putin «may have investments in Gunvor and access to its funds». After that, the trader announced the cessation of Russian oil supplies, except for permitted volumes.
Photo: Kommersant