Independent Gas Producer To Issue ADR

Russia's biggest independent gas producer Novatek is going to convert 20 percent of its shares into American Depositary Receipts, the Russian securities markets watchdog said on Wednesday. The amount represents 607,100 shares.

Novatek declined to say whether the permission meant an imminent ADR issue, but the board has recently asked management to start preparations for a public share offering.

In February, Novatek sold about 3 percent of its shares to institutional investors. The International Finance Corporation has said it was ready to buy up to 1 percent of shares from shareholders for up to $35 million.