Severstal plans London float

first_img KCS-content Share Tags: NULL whatsapp whatsapp Tuesday 21 September 2010 8:15 pm RUSSIAN steel group Severstal is expected to launch a float of its gold mining division in London later this year.Severstal, which owns a portfolio of gold assets in Russia and west Africa, is likely to sell off around 30-35 per cent of the company, retaining a large controlling stake for itself. The float is likely to value the company at as much as $4bn (£2.56bn.Gold companies have been buoyed recently by a meteoric rise in the price of the precious metal, which has gained 25 per cent in the past year thanks to a declining trend in production and strong demand. Prices, currently well above $1,250 an ounce and rising, are widely expected by the industry to hit $1,500 an ounce by the end of 2010.Severstal has already heavily committed itself to a continued rise in gold prices, having upped its stake in Canadian gold miner Crew Gold to 93.4 per cent last week. News of Severstal’s plans comes after the flotation of African Barrick Gold earlier this year by its parent Barrick Gold, the world’s largest gold miner. ABG raised over £500m from selling off a quarter of the company.Those involved in the current plans are thought to be confident that the high gold price will shore up demand from investors, who have been wary of other IPOs so far this year.Severstal declined to comment. Show Comments ▼ Severstal plans London float More From Our Partners Police Capture Elusive Tiger Poacher After 20 Years of Pursuing the Huntergoodnewsnetwork.orgKiller drone ‘hunted down a human target’ without being told tonypost.comBrave 7-Year-old Boy Swims an Hour to Rescue His Dad and Little Sistergoodnewsnetwork.orgRussell Wilson, AOC among many voicing support for Naomi Osakacbsnews.comNative American Tribe Gets Back Sacred Island Taken 160 Years Agogoodnewsnetwork.orgFlorida woman allegedly crashes children’s birthday party, rapes teennypost.comA ProPublica investigation has caused outrage in the U.S. this weekvaluewalk.comMark Eaton, former NBA All-Star, dead at 64nypost.comAstounding Fossil Discovery in California After Man Looks Closelygoodnewsnetwork.orgKamala Harris keeps list of reporters who don’t ‘understand’ her: reportnypost.comSupermodel Anne Vyalitsyna claims income drop, pushes for child supportnypost.comBill Gates reportedly hoped Jeffrey Epstein would help him win a Nobelnypost.comUK teen died on school trip after teachers allegedly refused her pleasnypost.comI blew off Adam Sandler 22 years ago — and it’s my biggest regretnypost.comMatt Gaetz swindled by ‘malicious actors’ in $155K boat sale boondogglenypost.com980-foot skyscraper sways in China, prompting panic and evacuationsnypost.comFeds seized 18 devices from Rudy Giuliani and his employees in April raidnypost.comBiden received funds from top Russia lobbyist before Nord Stream 2 giveawaynypost.comlast_img read more