Russians to exit Upet Targoviste

The Russian OMZ Uralmash group, the main shareholder of oil equipment producer Upet Targoviste, plans to sell its stake in the company, according to sources close to Upet. The sale of the participation held in the Romanian producer of oil equipment is part of the group’s new policy of focusing on activities linked to electrical power production equipment. The Russians sold on RASDAQ Electronic Exchange a stake of 33% in Upet stock to an offshore company headquartered in Cyprus, Obsesione Enterprise. The above-quoted sources maintain that there are Dutch investors behind Obsesione Enterprises. The Russians are currently in talks with several foreign funds and banks to sell their remaining 33% in Upet. The Romanian company reported losses of 4.8 million euros amid turnover worth 11.8 million euros in 2003. ZF