Ford Motor (NYSE:F) has come to a joint venture agreement with Russian local auto producer Sollers to produce and sell cars in the country.
The biggest immediate loser in the deal is Italy’s Fiat, which had also been negotiating with the company for a Russian partnership.
Ford and Sollers said that their proposed joint venture, which is a memorandum of understanding between the two companies at this time, would involve the two companies’ local production plants close to St. Petersburg and in the republic of Tatarstan.
Before the credit crisis, the Russian market was among the fastest-growing in the world, and with an expected rebound, automakers have been scrambling to make local deals, as Russia changed its policies to strengthen domestic producers.
At this time Ford is the No. 11 car selling brand in Russia, and if the expected rebound in the Russian auto market comes, they have a lot of room to grow there.
Ford was trading at $15.85, down $0.12, or 0.72 percent, as of 12:14 PM EST.
Showing posts with label Russia. Show all posts
Showing posts with label Russia. Show all posts
Friday, February 18, 2011
Wednesday, February 16, 2011
BP (NYSE:BP), Russia in Arctic Drilling Deal
After months of talks and negotiations, BP (NYSE:BP) and Russia have come to agreement on drilling for offshore oil in the Arctic, opening up a potentially huge reserve of oil to both parties.
With Russia depending heavily on oil production for its exports, Prime Minister Vladimir Putin said BP is the best oil company to work with, citing the lessons they learned from the oil spill in the Gulf of Mexico.
Most of the exploratory drilling will probably happen in the region of the Kara Sea, according to Russian authorities. Drilling in the region has revealed significant amounts of natural gas and oil deposits.
Specifics of the deal will be released sometime soon, including specific areas and time frames.
BP closed Tuesday at $47.05, gaining $0.36, or 0.77 percent.
With Russia depending heavily on oil production for its exports, Prime Minister Vladimir Putin said BP is the best oil company to work with, citing the lessons they learned from the oil spill in the Gulf of Mexico.
Most of the exploratory drilling will probably happen in the region of the Kara Sea, according to Russian authorities. Drilling in the region has revealed significant amounts of natural gas and oil deposits.
Specifics of the deal will be released sometime soon, including specific areas and time frames.
BP closed Tuesday at $47.05, gaining $0.36, or 0.77 percent.
Tuesday, December 14, 2010
Wal-Mart (NYSE:WMT) Abandons Russia, No Deals Available There
Wal-Mart (NYSE:WMT) announced it is leaving the Russian market, as it has officially closed their business office there.
Doug McMillon, chief executive officer of Wal-Mart’s international operation, said, “Since we have decided to enter the market through acquisition, not green-field development, and since there is no clear acquisition partner in the near term, there is not a business reason to continue our Moscow representative office.”
Wal-Mart that if an “attractive acquisition” were to present itself in the Russian market, they are willing to look at it and acquire the asset.
The giant retailer is looking at other emerging market economies like China, India and Brazil for strategic acquisitions.
Wal-Mart closed Monday at $54.21, down $0.07, or 0.13 percent.
Doug McMillon, chief executive officer of Wal-Mart’s international operation, said, “Since we have decided to enter the market through acquisition, not green-field development, and since there is no clear acquisition partner in the near term, there is not a business reason to continue our Moscow representative office.”
Wal-Mart that if an “attractive acquisition” were to present itself in the Russian market, they are willing to look at it and acquire the asset.
The giant retailer is looking at other emerging market economies like China, India and Brazil for strategic acquisitions.
Wal-Mart closed Monday at $54.21, down $0.07, or 0.13 percent.
Tuesday, October 19, 2010
BP (NYSE:BP), Total (NYSE:TOT) Talking with Russia over Offshore Oil Fields
BP (NYSE:BP) and Total (NYSE:TOT) have been approached by Russia to enter into talks concerning offshore oil fields in the region which have been in the past off limits for foreign companies.
Russian Prime Minister Vladimir Putin recently met with a group of potential foreign investors and companies who aired their concerns over challenges which need to be addressed and improvements made to loosen their pocketbooks and enter into the Russian market.
Russia realizes it must make improvements to attract foreign investment, and part of that strategy, apparently, is to open up formerly closed sectors.
Deputy Prime Minister Igor Sechin and Eduard Khudainatov, who is CEO of Rosneft, the giant Russian oil company, said they talked with BP and Total about "potential future cooperation on offshore deposits."
BP CEO Bob Dudley and Total's Christophe de Margerie participated in the discussions.
Russian Prime Minister Vladimir Putin recently met with a group of potential foreign investors and companies who aired their concerns over challenges which need to be addressed and improvements made to loosen their pocketbooks and enter into the Russian market.
Russia realizes it must make improvements to attract foreign investment, and part of that strategy, apparently, is to open up formerly closed sectors.
Deputy Prime Minister Igor Sechin and Eduard Khudainatov, who is CEO of Rosneft, the giant Russian oil company, said they talked with BP and Total about "potential future cooperation on offshore deposits."
BP CEO Bob Dudley and Total's Christophe de Margerie participated in the discussions.
Friday, October 15, 2010
BP's (NYSE:BP) Assets in Venezuela Will be Acquired by TNK-BP
A deal to acquire the Venezuelan assets of BP (NYSE:BP) by TNK-BP, a joint venture between them and a group of Russian billionaires, has been confirmed today by the energy ministers of both countries.
The memorandum was signed between the two nations when Hugo Chavez visited Russia.
Terms of the deal weren't revealed (although in the past it was estimated to be valued at about $1 billion) but the specific assets were, as German Khan, one of the wealthy Russian's with a stake in the venture revealed, include the acquisition of three oil fields: "16.7 percent of Petromanagas, 40 percent of Petroperija and 26.6 percent of Bouqeron," said Khan.
TNK-BP's goal is to expand outside of Russia and ultimately become the largest independent producer based in the country.
BP is selling the asset as part of their goal to raise $30 billion to pay for unfolding liabilities related to the Gulf of Mexico oil spill.
The memorandum was signed between the two nations when Hugo Chavez visited Russia.
Terms of the deal weren't revealed (although in the past it was estimated to be valued at about $1 billion) but the specific assets were, as German Khan, one of the wealthy Russian's with a stake in the venture revealed, include the acquisition of three oil fields: "16.7 percent of Petromanagas, 40 percent of Petroperija and 26.6 percent of Bouqeron," said Khan.
TNK-BP's goal is to expand outside of Russia and ultimately become the largest independent producer based in the country.
BP is selling the asset as part of their goal to raise $30 billion to pay for unfolding liabilities related to the Gulf of Mexico oil spill.
Sunday, January 11, 2009
Europe Relieved as Russia and Ukraine Sign Gas Monitoring Agreement
Europe breathes a little easier as Russia and Ukraine sign agreement to keep gas flowing to region.
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