Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

RusHydro Drops in U.S. After Renaissance Rates It ‘Sell’

OAO RusHydro slipped to the lowest level this month in U.S. trading after Renaissance Capital rated the stock a “sell” in new coverage.

American depositary receipts of Russia’s largest hydropower producer dropped 0.5 percent to $3.88 in New York, the lowest level since Jan. 31, based on closing prices.

Moscow-based brokerage Renaissance set a 3.1 U.S.-cent target price for Moscow-traded shares of RusHydro, according to a report by analysts including Derek Weaving in London and Vladimir Sklyar in the Russian capital e-mailed today. The stock fell 1.3 percent on Russia’s Micex Index to 1.16 rubles, or 3.9 cents.

The report cited “bleak prospect for minority shareholders,” adding that the company sells it output at “below-market” prices. Rushydro’s expansion plans “seem to lack rigorous financial justification,” the analysts wrote.

IFC Metropol cut the “fair value” price for RusHydro to 5 cents by the end of 2012, from 7.9 cents, on speculation Russian electricity prices will rise less than earlier forecast, Moscow-based analyst Konstantin Reyli wrote in the report e-mailed yesterday. Metropol reiterated its “buy” recommendation on RusHydro’s Micex stock.

RusHydro approved plans in October 2010 to invest 103.6 billion rubles ($3.47 billion) for technical upgrades of its existing power plants and construction of new projects throughout the country in 2012.

Investment is expected to total 95.6 billion rubles in 2013, according to a program posted on the company’s website. RusHydro plans to borrow 40.3 billion rubles to finance part of its investment plan in 2012, according to the document.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.