Norilsk Nickel to Spin Off Gold Assets into Polyus (NILSY)

Barron's reports that Russian mining company Norilsk Nickel (ADR: NILSY) is planning to spin-off its gold assets into a company called Polyus. Those assets include a 20% stake in South African mining company Gold Fields (ticker: GFI) and mines in Russia. Barron's writer Vito Racanelli argues that the stock is undervalued, but notes the risks: declining nickel prices, risks of owning a Russian stock, and volatility.