OREANDA-NEWS. December 07, 2012. The Board of Directors of Russian Railways has approved the sale of 25% plus 1 share of Open Joint Stock Company Freight One. The Board’s vote took place in accordance with a directive of the Government of the Russian Federation. As a result, Russian Railways withdraws fully from the authorised capital of OJSC Freight One, reported the press-centre of RZD.

The buyer will be the Independent Transport Company Ltd. and the sale price 50 billion roubles. During the meeting, the Board noted that the sale of shares of JSC Freight One will be the biggest privatisation deal in Russia’s modern history.

Russian Railways had previously held competitive negotiations with potential buyers of 25% plus 1 share of OJSC Freight One. The best binding offer came from the Independent Transport Company Ltd., which is prepared to pay 50 billion roubles for the assets.

On Wednesday, the Board of Directors also approved the sale of 75% minus two shares of Zheldorremmash through competitive bids in accordance with a decision of the Board of Directors on 27 June 2012 and a decree of the Russian Government dated 26 June 2012.

The announcement that bidding would take place for a sale and purchase contract in Zheldorremmash shares was announced on 14 August.

The results of the competition were announced on 1 November. The winner was TMKh Service Ltd., which offered 7.915 billion roubles. The bid was organised by TransCreditBank.

A shareholders’ agreement will be entered into with the winner, as well as a long-term contract to carry out repairs of traction vehicles for a period of 5 years.