Morgan Stanley moving ahead with Rosneft deal despite sanctions: CFO
Morgan Stanley (NYSE:MS) does not believe new U.S. sanctions on Russian oil company Rosneft will affect a pending deal between the two companies, the bank's chief financial officer said on Thursday.
Morgan Stanley management is moving ahead with plans to sell the majority of its global physical oil trading operations to Rosneft later this year, CFO Ruth Porat said in an interview.
"Recognizing the guidance was just released last night, we don't believe it applies to our transaction," she said. "We continue to do all the work necessary for closing by the end of the year, obviously subject to regulatory approval."
Morgan Stanley agreed to sell the majority of its global physical oil trading operations to Rosneft in December, before Russia launched an incursion into Ukraine's Crimean peninsula.
The bank recently submitted the transaction for review by the U.S. Committee on Foreign Investment (CFIUS), an inter-agency executive branch panel that examines foreign investment for potential threats to national security.