The Moscow Stock Exchange will suspend trading in X5 Group receipts on April 5. The decision is due to a lawsuit from the Ministry of Industry and Trade, which wants to terminate the corporate rights of the Dutch X5 Retail Group NV in relation to its Russian subsidiary. Following this news, the company’s revenue dropped in price by 2.62% and cost 3,010 rubles.
Join
Earlier it became known that the department filed an application with the Moscow Arbitration Court to suspend the rights of X5 Retail Group NV in relation to its Russian subsidiary.
As noted by the deputy head of the Ministry of Industry and Trade, Viktor Evtukhov, the presence of a key foreign shareholder in X5 creates risks for the Russian company.
As Infoline-Analytics CEO Mikhail Burmistrov explained to Forbes, we are talking about transferring X5 to Russian jurisdiction.
In the summer, the law on economically important organizations came into force, according to which the reregistration of such companies is faster and easier, and the court can exclude from ownership participants from countries that the Russian authorities consider hostile.
If the claim of the Ministry of Industry and Trade is satisfied, the shares of the Russian structure will be distributed between the owners of depository receipts and the final owners. The company will then be transformed into an open joint-stock company that will be listed on the Moscow Stock Exchange.
Author:
Natalia Gormaleva
Source: RB
I am a professional journalist and content creator with extensive experience writing for news websites. I currently work as an author at Gadget Onus, where I specialize in covering hot news topics. My written pieces have been published on some of the biggest media outlets around the world, including The Guardian and BBC News.
