ADIC to buy stake in Russian resort
Abu Dhabi, June 5, 2009
State-owned Abu Dhabi Investment Company (ADIC) said on Friday it is buying a stake in a Russian resort being built for the 2014 Winter Olympics in the Black Sea resort of Sochi.
ADIC joins Russia's largest bank Sberbank Rossii which has a 25.01 percent stake in the project, ADIC said in a statment without disclosing the value or how much stake it would take.
ADIC and Sberbank are joined by the government of the Krasnodar region, the government of the city of Sochi and other partners in the project, with the financing support of Vnesheconombank, it said.
Russia said earlier this week it will slash its state budget for the Winter Olympics by more than $600 million due to the economic crisis but promised that state-controlled companies would make up the difference.
This is ADIC's first investment in Russia and the first investment from the United Arab Emirates in Olympic games facilities.
Gornaya Karusel which will be home to the Russian National Ski-jumping Centre from 2012 onwards, will offer over 200 kilometres of ski slopes, and 28 cable lift stations.-Reuters