ALROSA said last week that it had continued its disposal of non-core assets and had sold, gratuitously transferred, liquidated or exchanged 109 objects with the book value over RUB 2.55 billion during 2019.

The non-core assets disposal programme has been implemented since 2019 with the aim of increasing the economic efficiency of ALROSA Group by improving management quality and focusing attention on core activities.

During 2019, the company said it most significant transaction was the sale of 100% shares in JSC Golubaya Volna Resort at an open auction for RUB 1.21 billion.

“The total of 109 non-core assets, or 21% more than planned, were disposed in 2019. The assets include equity stakes in two affiliated companies, 55 real estate units, 46 housing units, 6 construction in progress objects”, said ALROSA Deputy CEO Konstantin Mashinskiy.

Each year, the ALROSA Supervisory Board approves the list of assets subject to disposal. One major asset whose disposal was originally listed for in 2019 but was later postponed to 2020 is the company’s 100% share in LLC Lensk Heat and Electric Power Line Enterprise.

The most recent register of non-core assets, updated at the end of December 2019, comprises of 32 objects with the book value of RUB 20 million and higher. These include equity stakes in 6 affiliates and 26 real estate units.