OJSC Mechel may start the sale of coal mining company Bluestone (USA) in October-November, the Vedomosti informed referring to the company's representative.
According to the source, the company intends to focus on the activities with strong competitive advantages. Also, Mechel seeks to reduce its net debt reaching $9.2 billion at the end of the first quarter of 2013. Alternatively, Bluestone could ally with other North American manufacturers instead of going on sale.
It will be recalled that Mechel was reported to have hired investment bank JP Morgan to sell its US coal business in June.
Mechel (tax number: 7703370008) is one of the leading Russian companies. The company's profile covers 4 business segments: mining, metallurgical, ferroalloy industry and power engineering. The company unites manufacturers of coal, iron-ore concentrate, nickel, steel, rolled products, high-added value products, thermal and electric energy. Mechel's goods are sold in Russia and worldwide.
US GAAP net loss of OJSC Mechel for Q1 2013 was $321 million against a profit of $218 million the year before. Revenue fell by 16.89% to $2.83 billion from $3.405 billion, operating profit 5.2-fold to $61 million from $317 million, adjusted EBITDA decreased 2.32-fold to $210 million from $487 million, EBITDA margin to 8.5% from 16.5%.
According to the information and retrieval system DataCapital, RAS net loss of OJSC Mechel for H1 2013 was RUB 6.367 billion against a profit of RUB 21.94 billion the year before. Revenue dropped 9.77-fold to RUB 2.499 billion from RUB 24.405 billion, sales profit 12.23-fold to RUB 1.956 billion from RUB 23.921 billion, loss before tax was RUB 6.475 billion against a profit of RUB 21.404 billion.