(Reuters) -Russia’s EN+, the majority shareholder of Rusal, is reviewing options for the aluminum giant, including turning its international business into a separate entity, the group said on Monday.
Hong Kong-listed shares of OK Rusal leapt by as much as 40.8% to HK$5.04, its highest since March 1 after shedding more than 45% last week.
EN+ said the strategic review was at a preliminary stage and any moves would be subject to “further consideration” as well as talks with regulators and stakeholders.
A Bloomberg report on Friday said EN+ was considering forming a new company owned by the EN+ managers and other investors from the alumunium producer’s international assets, including in Africa, Australia and Europe.
EN+ separately announced on Monday that its Chairman Gregory Barker will step down after more than four years in the role and will be replaced by Christopher Bancroft Burnham.
Bloomberg had said that Barker would step down to focus on the deal. Barker did not immediately respond to a Reuters’ request for comment via LinkedIn.
EN+ owns a nearly 57% stake in Rusal. Major En+ shareholders are Russian tycoon and Rusal founder Oleg Deripaska, with around a 45% stake, and commodity trader and miner Glencore, which holds more than 10%.
Western governments are tightening sanctions on Moscow following the invasion of Ukraine, which has led international companies to exit Russia and dump investments worth tens of billions of dollars.
Glencore last week said it was also reviewing all its business activities in Russia, including its equity stakes in EN+ and oil giant Rosneft.
(Reporting by Yadarisa Shabong in Bengaluru; Editing by Sherry Jacob-Phillips and Barbara Lewis)
