Rosneft buys YUKOS brand name
Rosneft bought Lot No. 18 of YUKOS assets at an auction yesterday for 18.58 billion rubles ($ 725 million), 0.5% over the starting price.
The only competitor for the lot, OOO Benefit, was willing to pay only the starting price and did not make any bids. Lot No. 18 consisted of all of Lot No. 16, which there were no bids for at about 10 billion rubles, plus YUKOS trade marks on petroleum products. Lot no. 16 consisted of the railway operator YUKOS Transservice, a share in ZAO KAFA (a joint Russian-Ukrainian petroleum product transshipment company), the Armenian-registered OOO YUKOS CIS Investments and 0.0015% in Kuibyshevnefteorgsintez.
The value of the YUKOS brand name is hard to assess. The financial condition of a company is considered in such estimates, as well as its reputation. YUKOS´ reputation in Russia may not correspond to its reputation in the West. Rosneft has not yet decided what to do with the brand. Owning the brand name protects the state-owned company from having to pay royalties on it or being forced to rename the YUKOS filling stations it owns. A YUKOS source said that the YUKOS filling stations bought by Rosneft in several lots will be renamed and redesigned in any case. (petrolplaza)
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.