Sibur is Russia’s largest petrochemical company. A former subsidiary of Gazprom, the company is now fully private. The two largest shareholders are Leonid Mikhelson and Gennady Timchenko (also the largest shareholders of Novatek), who together control 94.5% of the shares. The remainder belongs to the top management and BoD members. The company’s shareholders reportedly want to take the company public at some point.
The company is engaged in two major business lines, production of energy products and petrochemicals. Sibur purchases associated petroleum gas and raw natural gas liquids from oil and gas companies and operates gas processing and fractionation facilities to produce liquefied petroleum gas, naphtha, and other products. It exports 60% of its energy product output; exports of liquefied petroleum gas in Russia enjoy significantly better tax treatment than exports of other liquid petrocarbons. Some 70-80% of petrochemical output (i.e. basic polymers, rubbers, plastics, organics) are sold locally.
The company has two BB+/Ba1-level credit ratings (Moody’s and Fitch). Sibur has one $1 bln outstanding Eurobond and currently does not have any outstanding local bond issues.