Rosneft seals $10bn from Glencore & Vitol for TNK-BP buyout.

FT: “Rosneft has closed a $10bn financing deal with oil traders Glencore and Vitol, bringing the “largest acquisition in history” a step closer to conclusion, according to Igor Sechin, the Russian state oil company’s chairman.” “Mr Sechin, in making the announcement, did not say what the money was to be used for, but analysts said that it was clearly part of the $45bn in cash needed to complete Rosneft’s $55bn acquisition of oil company TNK-BP agreed last October. …In December Rosneft issued $3bn in eurobonds, while later that month, according to a statement on its website, it borrowed $16.8bn from a consortium of international banks to finance the acquisition of 50 per cent of TNK-BP from BP, which will receive $17.1bn in cash from Rosneft and a 12.84 per cent Rosneft stake. ….The $10bn pre payment is one of the largest ever involving trading houses. The agreement with Glencore envisages supply volumes of up to 46.9m tonnes of crude, while the contract with Vitol envisages volumes of up to 20.1m tonnes, according to a statement on Rosneft’s website, which added that the money would be “used for corporate-wide and investment purposes”.