Qiwi’s income on the Moscow Stock Exchange fell by 14% at the beginning of trading on Monday. On Friday afternoon, the company announced the sale of Russian assets to Hong Kong-based Fusion Factor Fintech Limited, owned by the company’s CEO Andrei Protopopov.
At a minimum, Qiwi depositary receipts fell to 462 rubles per unit, but at 10:43 they slowed the decline to 0.74% and were trading at 534 rubles.
Last week it became known that Qiwi Plc. Within the framework of business restructuring, JSC Qiwi Fusion Factor Fintech Limited will be sold for almost 24 billion rubles. The agreement will include Qiwi Bank, Qiwi Wallet, Qiwi Business, Contact and other projects.
As a result of the transaction, Protopopov will continue to manage the business of Qiwi JSC. At the same time, he will step down from his leadership positions at Qiwi Plc. Additionally, after the sale, Qiwi will buy back American depositary shares from Nasdaq and the Moscow Stock Exchange.
Under Cypriot law, the buyback amount cannot exceed 10% of all issued shares. The maximum price on the Moscow Stock Exchange will be 581 rubles per unit, the redemption price on Nasdaq will be determined based on the redemption price in rubles and the exchange rate of the Central Bank.
The company needs a business restructuring to maintain its listing on Nasdaq. The process was scheduled to end in 2023, but the deadlines have changed.
Author:
Natalia Gormaleva
Source: RB
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