An easy story to sell

International demand for Russian equity has grown steadily over the past year. But the supply has not kept up pace as companies struggle to cope with confusing laws and accounting muddles. Sophie Roëll reports

A SUPPLEMENT TO EUROMONEY – APRIL 1997

The Russian story should be an easy one to sell to international equity investors. Russian blue chips ­ such as oil producer Lukoil, natural gas producer Gazprom and national long-distance telephone company Rostelecom ­ are perhaps not yet household names. But they are already well known in the investment community. The Russian natural resource sector, featuring companies with vast reserves and low valuations, has become an investment byword for bargain.

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