What is Mikhail Abyzov’s Net Worth?
Mikhail Abyzov is a Russian businessman who has a net worth of $1 billion. Mikhail Abyzov is one of the founders and members of the board of E4 Group, rated as one of the biggest private construction subcontractors in Russia’s energy industry. Born on June 3, 1972 in Minsk, he first started dealing with business in the early 1990s while still a student at Moscow State University. At the time, he was mainly importing food from Bulgaria. Since 1993, he has had the chance to work as a top manager for many Russian-based companies, especially in the fuel and power sectors.
It was in the mid-2000s that he bought several engineering and construction companies, which he eventually combined to form his E4 Group. In July 2007, Abyzovbecame the Chairman of the group’s board, and only a month later, he was named as Mostotrest’s Chairman of the board of directors. Recently, Abyzov also set his foot in politics. Since May 2012, he has been a minister in the Russian Federation’s cabinet, serving as Minister for Open Government affairs in Dmitry Medvedev’s Cabinet.
|Category||Mikhail Abyzov’s Net Worth|
|Net Worth||$1 Billion|
|Date of Birth||Jun 3, 1972 (51 years old)|
|Place of Birth||Minsk|
Mikhail Abyzov Biography
Mikhail Anatolyevich Abyzov: A Journey in the Russian Energy and Engineering Industry
Mikhail Abyzov Education:
Mikhail Anatolyevich Abyzov began his educational journey at Moscow State University, specifically at the Department of Mechanics and Mathematics. However, he did not complete his studies there. Instead, he received his diploma of higher education in 2000 from the Sholokhov Moscow State Open Pedagogical University (now known as Sholokhov Moscow State University for Humanities).
Mikhail Abyzov Career:
Abyzov’s foray into the business world commenced in 1990 when he founded his first company, Intershops. This company primarily dealt in Turkish consumer goods and office equipment. Subsequently, in 1992, along with a fellow student from Bulgaria named Milen Mitsik, Abyzov established a joint venture named MMB-Group, focused on selling Bulgarian products.
A significant turning point in his career occurred when his company began collaborating with Russia’s Defense Ministry and the Ministry of Internal Affairs (MIA). This collaboration was facilitated by Abyzov’s chance encounter with a high-ranking executive from one of the law-enforcement agencies at a shooting range. MMB-Group supplied AvtoVAZ-made spare parts to the Main Internal Affairs Directorate of Moscow, with the MIA providing assistance in resolving shipment-related issues.
During the 1990s, most transactions in Russia were conducted through barter schemes or goods-for-debt arrangements due to a shortage of cash. One such transaction resulted in Abyzov’s company becoming the holder of a debt owed by the Novosibirsk Chemical Concentrates Factory. This transaction led to his introduction to Ivan Starikov, a deputy of the State Duma representing Novosibirsk Region, who subsequently appointed Abyzov as his assistant.
Starikov further introduced Abyzov to the then-Governor of Novosibirsk Region, Vitaliy Mukha. Through this new connection, Abyzov’s company, United Russian Fuel and Energy Company (ORTEK), became the primary fuel supplier to Novosibirsk Region. In a notable deal in 1995, Abyzov proposed the supply of fuel from the Mozyr Oil Refinery in Belarus in exchange for a security stake of 19.5% in Novosibirskenergo shares. However, in 1997, Novosibirsk Region was unable to pay for the supplied fuel, leading to the transfer of Novosibirskenergo shares to Abyzov.
In 1998, Abyzov was appointed as deputy chairman of the board of directors of Novosibirskenergo. Dmitriy Zhurba, a co-owner of Alemar (a Novosibirsk-based investment company), served as the chairman of the board, and Leonid Melamed, the founder of Alemar, was the second deputy chairman. Alemar had previously suggested that the administration of Novosibirsk Region attract investors to Novosibirskenergo. Consequently, Novosibirsk Region transferred 35% of new shares of Novosibirskenergo to Alemar, secured by Alemar’s promissory note. However, Alemar only placed 13% of the shares, retaining 22% on its balance sheet.
As Abyzov became a co-owner of Novosibirskenergo, he collaborated with Alemar to exert control over the energy company. By 1999, Abyzov had increased his interest in Novosibirskenergo to 24.59% through the acquisition of minority shares via his firm, Tantyema. Melamed and Zhurba provided assistance in this endeavor.
Mikhail Abyzov’s Net Worth Growth
|Mikhail Abyzov Net Worth in 2023||$1 Billion|
|Mikhail Abyzov Net Worth in 2022||$900 Million|
|Mikhail Abyzov Net Worth in 2021||$800 Million|
|Mikhail Abyzov Net Worth in 2020||$700 Million|
Mikhail Abyzov Legal Issues:
In 2000, the Russian General Prosecutor’s Office brought charges against the former Governor of Novosibirsk Region, Vitaliy Mukha, for misfeasance, and Leonid Nikonov, the former head of the State Property Committee of Novosibirsk Region, for abuse of office, related to the improper disposal of Novosibirskenergo shares. These shares, valued at up to $40 million in the market, were transacted for a mere $570,000. The criminal case was closed in 2001 due to the statute of limitations.
In 2002, Abyzov’s equity stake in Novosibirskenergo, which had been reflected on Alemar’s balance sheet, was sold to a subsidiary of Novosibirskenergo, ZAO Sibirenergoinvest. This transaction made Abyzov the sole controlling shareholder of Novosibirskenergo.
In 2003, the Federal Security Service conducted seizures at Novosibirskenergo. The company’s management was accused of understating the volume of electricity transmitted through the grids of GUP Novosibirskoblenergo in 2002, resulting in a loss of 72 million rubles. The case was closed in 2004 due to the absence of a criminal event.
Mikhail Abyzov Subsequent Ventures:
In 2011, Novosibirskenergo underwent a name change to OJSC Sibeko. In 2018, Abyzov sold the shares he owned in Sibeko to Siberian Generating Company, owned by Andrey Melnichenko. Abyzov’s involvement in negotiating this sale took place despite a ban on entrepreneurial activities, which he was required to observe due to his position as the Minister for Open Government Affairs of the Russian Federation.
Mikhail Anatolyevich Abyzov’s career in the Russian energy and engineering industry has been marked by various business endeavors, legal issues, and significant transactions in the energy sector.