Russian Shareholders Withdraw Suit Against BP
Before BP PLC (NYSE: BP) agreed to sell its 50% stake in Russia-based oil company TNK-BP, the company tried to negotiate an alliance with eventual acquirer Rosneft. That did not work out, and it also brought on a $3 billion lawsuit against BP by minority owners of its partner in TNK-BP, Alpha Access-Renova (AAR), which claimed they should have been involved in the negotiations. Three of Russia's leading energy oligarchs control AAR.
A report at Dow Jones Newswires today cites an AAR attorney who said the Russian firm has withdrawn its lawsuit. AAR, like BP, has agreed to sell TNK-BP to Rosneft for a total of about $55 billion. Each firm will receive nearly $28 billion for its stake. The minority shareholders had won the first round of the legal battle in a Russian courtroom, and BP's appeal was scheduled for a hearing beginning later next week.
BP's shares are down about 0.6% in early trading this morning, at $92.82 in a 52-week range of $60.79 to $94.83.
Filed under: 24/7 Wall St. Wire, International Markets, Law, Oil & Gas Tagged: BP