Russian Railways to cut loose First Freight
The Russian government said it will sell 75 percent, minus 2 shares, of the First Freight Co. in one lot at a public auction.
Legal entities registered in Russia, described as 'non-state corporations with a stable financial position and experience of operating railway rolling stock,' will be eligible to participate in the auction planned for the end of the year.
“This sale will become a key element in the reform of the freight side at Russian railways,' said Russian Railways President Vladimir Yakunin, in a statement. 'As a result, the market will see the entering of the largest private player into the cargo sector, while Russian Railways will receive significant funds to finance its investment program. The terms of the auction mean that we can expect a strategic investor to enter the industry who is interested not only in the commercial benefits, but also in the development of Russia's rail system.”
Russian Railways to cut loose First Freight
