Sibur to restructure tyre business prior to sale -- report

Moscow--SIBUR has reportedly said it is in the process of restructuring its tyre activities with the aim of attracting an external investor. According to a report in the Kommersant paper, Sibur intends to transfer all its shares in tyre companies to its 100 percent subsidiary, Sibur Russkie Shiny. SRS has previously been responsible for distribution and sales of Sibur-made tyres within Russia

Sibur made about 15.1 million tyres in 2004, with 100 percent ownership of the Uralsky tyre company; over 80-percent in Omsk Tire and Volzhsky tyre, and a controlling share (76 percent) in Yaroslavl Tyre.

Kommersant quoted Dmitry Konov, senior vice president at SIBUR saying, "The concept of tire business split-off was presented to Gazprom's Board of Directors on February 4, simultaneously with the program to capitalize SIBUR indebtedness. No one in the management of our parent company has opposed that scheme.” Konov continued, "“Moreover, it is vital to consolidate profit centers for tire production, currently split between SIBUR, SRS and the works within one and the same structure - to pack them under a common cover. Then, we will be able to attract an outside investor to develop this direction. Already now, the necessity of this move is evident.”

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Kommersant (Russia) story

Sibur website