Chelsea owner Roman Abramovich sells stake in Highland Gold to Vladislav Sviblov

Chelsea owner Roman Abramovich and his partners have agreed to sell their 40% stake in Highland Gold to Russian businessman Vladislav Sviblov.

Sviblov has agreed to buy the stake in Highland Gold for £3 per share, valuing the company at $1.4 billion.

Highland Gold - which is listed in London - is one of the top 10 gold producers in Russia with several mines in the country’s Far East.

The deal comes at a time when gold prices are close to record highs as the COVID-19 pandemic drives investors towards the metal.

Sviblov will make a cash offer to the remaining shareholders in the company.

"This is a strategic investment for us, in line with our aim to build a broader asset portfolio in the natural resources sector in Russia," Sviblov said in the statement.

The offer is expected to complete in the fourth quarter of 2020.