22.10.2004 - The Bill introducing amendments to the Federal law "On the joint-stock companies" # 208-FZ, dated 26.12.1995 was passed through the State Duma of the Russian Federation in the first reading.

The amendments are as follows:

1. Amendments to the article 75 stipulate that where there is a shareholder (or a group of shareholders) owning 90% or more than 90% of shares, the other shareholders which own 10% or less than 10% of shares have the right to claim redemption of shares owned by such minority shareholders.

2. Articles 76-1 and 80-1 introduced to the Federal law stipulate the procedure under which the shareholders can exercise the right to claim the redemption of the shares redeemed and owned by the shareholders. It also sets forth the novelty that the majority shareholder owning 90% and more than 90% of shares has right to enforce the redemption of shares from the shareholders owning 10% and less than 10%.

For more information please contact:

Elena Listopad, Elistopad@vfbs.ru (095) 933 78 22