Evraz completed the deal of selling the Evraz Nakhodka Commercial Sea Port to its main shareholder Lanebrook Limited. This is stated in the message of the metallurgical company. The transaction amount is 354.4 million USD. The net income to Evraz will amount to 295 million USD and will mainly be aimed at reducing the company’s debt burden and improving the overall financial situation of Evraz. As part of the deal, Evraz and the Nakhodka Port signed an agreement on transshipment of goods, under which the steel company is obliged to supply, and the Nakhodka port handles cargo (coal and metals) in a certain amount and at certain rates for five years.
The port of Nakhodka is one of the largest stevedoring companies in the Far East of Russia. Evraz acquired 91% of the port’s shares in 2003, and in 2007 bought back the remainder. The capacity of the port allows you to unload up to 500 wagons with different cargo per day. At the end of 2016, the total cargo turnover of the port was about 10 million tons of cargo. As of December 31, 2016, the total value of Nakhodka’s port assets was about 50 million USD and net profit of 44.5 million USD.
EVRAZ Plc is a multinational vertically integrated steel making and mining company headquartered in London, United Kingdom.