Proactive Investors - Run By Investors For Investors

ENRC lashes out as campaign group tries to halt privatisation

ENRC lashes out as campaign group tries to halt privatisation

Scandal-struck mining group ENRC (LON:ENRC) has hit back against a human rights group that has called for its assets to be frozen ahead of a £3bn takeover by its founders and the Kazakh government.

UK-based Rights and Accountability in Development (RAID) claims miner CAMEC, which Kazakh-focused ENRC bought in 2009 for £584mln, breached sanctions against Zimbabwe before the acquisition.

It has urged the Takeover Panel, the Serious Organised Crime Agency and the Asset Freezing Unit to stop ENRC’s privatisation.

ENRC, which is under investigation by both the Serious Fraud Office and the UK Listing Authority for bribery and corruption, strongly rebuffed the allegations, calling them "extremely serious and unfounded".

“Had RAID contacted the company they would have been told that when ENRC acquired CAMEC it sought and obtained all necessary regulatory clearances and/or consents for the transaction including engaging with HMT [Her Majesty’s Treasury] and OFAC [Office of Foreign Assets Control],” it said.

Founders Alijan Ibragimov, Patokh Chodiev and Alexander Mashkevitch have launched a bid alongside the Kazakh government to take the company private.

Kazakhmys has a 26% stake in ENRC, giving it the final say over a deal, which goes to vote at its general meeting tomorrow.

It is thought Kazakhmys shareholders will give the deal the green light.

Less than two weeks ago, it emerged ENRC is suing ex-director Sir Paul Judge for allegedly leaking information to the media.

View full ENRC profile View Profile

Eurasian Natural Resources Timeline

November 05 2013
April 24 2013
April 19 2013

Related Articles

Inspection at Cangai property
April 28 2019
The company has the Cangai Copper Project in northern NSW as its flagship asset.
electicity wires
March 25 2019
'We have four key projects which we are developing in parallel'
Citronen camp in Greenland
April 02 2019
Its Citronen project is in Greenland while its Captains Flat JV with Glencore is in NSW.

© Proactive Investors 2019

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use