Russia will sell a majority stake in gold producer Uzhuralzoloto (UGC) it seized from businessman Konstantin Strukov to a unit of state-owned Gazprombank, the Interfax news agency cited the finance ministry as saying on Friday. Russia's general prosecutor's office last month won a lawsuit to transfer ownership of Strukov's shares in UGC to the state, after prosecutors alleged that Strukov had obtained property 'through corruption'. Strukov, whose fortune is estimated by Forbes at $1.9 billion, was placed under sanctions by some Western countries, including Britain, which has said his work as a director of a company in the Russian extractives sector supported the Russian government. UGC itself is under U.S. sanctions. Interfax quoted deputy finance minister Alexei Moiseev as saying the state would sell the majority stake, valued at 85 billion roubles ($1.06 billion), to UGC's large minority shareholder, which was not specified. 'We want (to do it) this year,' Interfax quoted Moiseev as saying. 'This is one of the assets we plan to sell as soon as possible.' UGC shares were up 0.1% on the day, underperforming the wider MOEX index, which was 0.7% higher. Gazprombank did not immediately respond to a request for comment. The UGC case is the latest in a growing series of asset seizures initiated by Russian prosecutors, which have seen some $50 billion transferred to state coffers over the past three years, according to research published in July. Strukov owned a 67.8% stake in UGC, according to company data as of the end of 2024. A company connected to Gazprombank, AAA Capital, bought a 22% stake late last year and the remaining 10% of shares floated on the Moscow Exchange in 2023 and 2024 in two public offerings. Dmitry Malbin, a lawyer who represented UGC in court, has said that UGC complies with the law and had never benefited from Strukov's position in the Chelyabinsk assembly. ($1 = 80.0000 roubles)

Russia to sell seized stake in gold producer UGC to unit of Gazprombank, Ifax reports

Russia plans to sell a majority stake in Uzhuralzoloto (UGC), a gold producer seized from businessman Konstantin Strukov, to a unit of state-owned Gazprombank. The sale, valued at 85 billion roubles ($1.06 billion), follows a court ruling that transferred ownership of Strukov's shares to the state due to allegations of corruption. Strukov, whose fortune is estimated at $1.9 billion, is under sanctions by Western countries, including Britain, for his role in the Russian extractives sector. UGC itself is under U.S. sanctions. The state intends to complete the sale this year as part of a broader trend of asset seizures by Russian prosecutors, which have transferred over $50 billion to state coffers in the past three years. A company linked to Gazprombank, AAA Capital, previously acquired a 22% stake in UGC, and the remaining 10% was floated on the Moscow Exchange in 2023 and 2024.