OREANDA-NEWS. February 12, 2014. Media reported that Alrosa (Bloomberg: ALRS:RU) refinanced its short-term debt of USD 1.4 bn instead of paying it off with the funds from the gas assets deal with Rosneft. Rosneft has the right to postpone the deal until March 31st.

We do note that the entire story might lead some investors to have second thoughts, however we do believe that the outcome is to be favorable for Alrosa, , says Finam.

Media reported that Alrosa had refinanced its short-term debt of USD 1.4 bn instead of paying it off with the funds from the gas assets deal with Rosneft. We note that previously Igor Sechin had stated that Rosneft was mulling over the renegotiation of the terms of the deal, and in particular, was looking for a reduction in price. Rosneft has the right to postpone the deal until March, 31st. We do note that the entire story might lead some investors to have second thoughts, however we believe in a favorable outcome for Alrosa.