Gunvor to pour out oil – the trader to switch over to oil products and gas

Recently the main seller of Russian oil, trader Gunvor of Gennady Timchenko and Torbjorn Tornqvist, for the first time officially disclosed detailed structure of its business and financial rates in 2010-2012. It emerged that Gunvor received the main part of its proceeds in the amount of $248 billion in the last three years from sale of oil products. At the same time, the trader actively increases the gas share in its trade operations, but LNG sales, which export may be liberalized, are not large for while.

This week, Gunvor is going to place a debut issue of eurobonds for $300 million,Bloomberg reported yesterday and the Kommersant’s sources in banking community confirmed. The bonds are planned to be issued for 5 years with price guidance of 6.5% per annum. The eurobonds prospectus (which the Kommersant has) notes that funds are planned to be attracted for “corporate-wide aims, which may include acquisitions, investments and capital costs”. Gunvor refused to specify for what the company was going to spend money. Gennady Timchenko and Torbjorn Tornqvist, who own voting shares in equal parts, are still listed as shareholders of Gunvor; a small package of non-voting securities is distributed among Top-Managers.