Bloomberg News

Gazprom Climbs to Highest in Two Weeks on Dividend Report

December 01, 2011

(Updates prices in second paragraph.)

Dec. 1 (Bloomberg) -- OAO Gazprom rose to a two-week high in New York after Interfax said that Russia’s gas export monopoly plans to set aside about 200 billion rubles ($6.5 billion) a year in 2012 through 2014 to pay dividends.

Gazprom’s American depositary receipts climbed 2.7 percent to $11.81 at the close of trading in New York, the highest level since Nov. 16.

Interfax cited an unidentified person familiar with the Russian gas producer’s budget plans.

“Investors hope that Gazprom is finally turning its face to them and starts paying more substantial dividends,” Sergey Vakhrameev, senior analyst at IFC Metropol, said by phone from Moscow. “Gazprom doesn’t usually pay large dividends. Their dividend yields are historically very low.”

Gazprom added 3.4 percent to close at 181.40 rubles on Russia’s Micex index. One Gazprom ADR is equal to two ordinary shares.

--Editors: Glenn J. Kalinoski, Lester Pimentel

To contact the reporter on this story: Ksenia Galouchko in New York at kgalouchko1@bloomberg.net

To contact the editor responsible for this story: David Papadopoulos at papadopoulos@bloomberg.net


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