The funds will be used to repay part of subsidiary ZAO Trevozhnoye Zarevo's debt to Trans-Siberian, which also wants to buy back 22.9 million shares from two major stakeholders, UFG Private Equity Fund I and Destin Investment Management.

The share buyback was proposed earlier this month to cut UFG Asset Management's domination of Tarbs-Siberian's share register.

The loan has an annual interest rate of 10.7%, in line with market rates for rouble-denominated loans in Russia.

Trans-Siberian's shares (AIM:TSG) dropped 5.66% Thursday to 50p.