The deal was based on the price of €12 per share, which implies that its total value may be estimated at €766 million. The deal is also subject to approval by regulators of Russia, Italy, and the EU.
Rosneft and Pirelli have also concluded a memorandum of understanding to consider synthetic rubber production in the Russian city of Nakhodka and supplies to Pirelli’s plants in the Asia-Pacific region. The projects may be implemented at production facilities of Rosneft’s Eastern Petrochemical Company.
The companies have also signed an agreement of understanding to expand trade and marketing cooperation by launching Pirelli point of sales within the retail chain of Rosneft. The companies will open 60 units in 2014-2015, and boost the number of Pirelli tire centers to 200 by 2019.