Kenges Rakishev sold major stake of the seaport “Vitino” to a strategic investor

Vitino port is the legacy of BTA. As the owner of BTA Kenges Rakishev manages the assets.

Kenges Rakishev has sold the Vitino seaport to the strategic investor. Major administrative and factual restoration works preceded the deal. Now it is finalized and Kenges Rakishev gave interview to the press.

BTA has passed its banking license and focused on asset management. In Russia we managed to regain control over many land and development assets. Most of them, according to our strategy, have been implemented. We withdrew from these projects, selling them to those investors who were interested in quick implementation of these projects, had the appropriate competencies and the necessary investments for further development. As for the Vitino port, we have developed a roadmap for restarting the port, attracted benefits from the Russian Government by making the facility a resident of the Russian Arctic zone, enlisted the support of the Murmansk Region Government in infrastructure issues, and agreed on the future of the port with potential cargo senders planning mainly to handle oil and gas sector products. The further implementation of the roadmap will be undertaken by a professional in his field, to whom we have transferred control of the port.Kenges Rakishev, in an interview to Hibiny.com

Nord Star LLC, as a resident of the Russian Arctic, can count on a reduction in the income tax rate for 10 years after receiving the first profit (up to 5% for the first 5 years and up to 10% for the second), zeroing the property tax rate for the first 5 years, land tax for 3 years and reimbursement of part of the costs of paying insurance premiums to state extra-budgetary funds.

According to the press service of Kenges Rakishev, before the arrival of BTA Bank through Nord Star LLC in Vitino, the facility was in a semi-abandoned state, cargo transshipment was not carried out and there were unclear prospects about its future fate. With the arrival of a new team of owners, the situation has changed. The port has opened a second wind. The real work has begun. The interest in restarting the project was reported by the STLC, but the parties did not come to a common denominator about the prospects of the project.

Initially, the ice-free seaport “Vitino” was used for the export of oil and petroleum products arriving by rail. The port has a railway connection with Murmansk and St. Petersburg. According to Kenes Rakishev, in the conditions of rising oil and gas prices, the active development of the Northern Sea Route, Vitino will increase its attractiveness in the eyes of the main senders of goods, since transport assets will be in demand in any case. The port’s capacity may be of interest to large oil and gas companies, such as Rosneft or Gunvor.

Kenges Rakishev did not comment on the amount of the transaction and did not disclose the buyer, limiting itself only to the comment that the new owner has considerable experience in managing large construction and infrastructure projects.

This article is based on following sources
  • https://www.hibiny.com/news/archive/256709/

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