Rosneft, Russia's biggest crude oilproducer, may back out of a deal to buy Morgan Stanley's oil trading unit because Western sanctions make it virtually impossible to finance day-to-day operations, three sources close to the state-controlled company said.
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Reuters: Rosneft may back out of Morgan Stanley oil unit deal
Rosneft has enough cash to buy the Morgan Stanley unit, which sources said carries a price tag of between $300 million to $400 million. But to operate day-to-day, the business requires billions of dollars of bank lines of credit, funding that's difficult to secure given the sanctions.
