DLA Piper has advised Russian oil and gas company TAIF on the merger of its petrochemical business with Russian petrochemical company Sibur. Herbert Smith Freehills reportedly advised Sibur.
Existing TAIF shareholders will receive a 15% stake in Sibur Holding in exchange for the transfer of a controlling interest in TAIF’s group of petrochemical and energy companies, with the remaining stake in TAIF subsequently available for purchase by Sibur.
According to DLA Piper, the enlarged company will become one of the world’s top five producer of polyolefin and rubber products. According to the firm, "the merger will make the entity’s petrochemical operations more competitive in the global market, improve its resilience to market fluctuations and unlock additional growth potential for Russia’s petrochemical industry through the joint realization of capital intensive projects, boosting chemical non-commodity exports. It will also create new jobs and opportunities for sustainable development and environmental management."
DLA Piper's team was led by Moscow-based Corporate Partner Evgeny Glukhov, assisted by Senior Associate Evgenia Kudryashova and Associates Ksenia Mikhaylova and Anna Litovchenko.