FAS gives approval to Rosneft’s takeover of TNK-BP

Russia’s Federal Antimonopoly Service (FAS) has given its approval to state-run Rosneft’s bid to take over 100% of TNK-BP. However, FAS Chief Igor Artemyev said that FAS, Russia’s competition watchdog, approved the multi-billion-dollar deal on the condition that Rosneft would sell part of its retail fuel network in the Russian areas where the company’s combined assets would reach more than 50% of the diesel and gasoline market. Platts reported that FAS has obligated Rosneft to provide details on the areas concerned within two months of the completion of the deal; and the company is expected to reduce its share of the retail fuel market in those areas within a year.
Rosneft‘s retail fuel network across Russia includes 1,800 filling stations, while TNK-BP’s has 1,300 stations, which includes some 600 franchised sites bearing the TNK-BP name. Rosneft said it hopes to complete the takeover of TNK-BP by mid-2013. (January 18, 2013)