Rosneft Jumps Most Since IPO on Report Kremlin Will Boost Stake

By William Mauldin

Sept. 19 (Bloomberg) -- OAO Rosneft climbed the most since its initial public offering two years ago on reports the Russian state will increase its majority stake in the country's biggest oil producer.

Rosneft soared 66.20 rubles, or 55 percent, to 186.60 rubles at 2:17 p.m. in Moscow. The government plans to buy shares in state-run Rosneft, OAO Gazprom and VTB Group, Interfax reported, citing Finance Minister Alexei Kudrin.

The government will set aside 250 billion rubles ($9.8 billion) rubles this year and a similar amount next year to purchase stock in the country's best companies, Kudrin said today, according to the news service.

Gazprom, the state-controlled gas export monopoly, added 52.88 rubles, or 33 percent, to 212.90 rubles, while VTB, the country's second-biggest bank, surged 1.63 kopeks, or 60 percent, to 4.35 kopeks.

Russia's Micex Index and RTS Index are both headed for their biggest gains since their inceptions following two days of closure for Russia's two biggest stock exchanges. The Micex surged as much as 28 percent today and the RTS as much as 20 percent.

To contact the reporter on this story: William Mauldin in Moscow at wmauldin1@bloomberg.net.