Russia: Update on Corporate Actions Reform
Please be advised that the Russian Corporate Actions Reform of the Federal Law 210-FZ came into force on 29 June 2015.
The Law amends the Federal Law 208-FZ on Joint-Stock Companies and the Federal Law 39-FZ on the Securities Market and will gradually take effect from 1 July 2016.
The Russian Corporate Actions Reform Law aims to improve best practice and to raise standards of corporate action processing in the Russian market.
Key changes introduced by the Law will include the following:
- abolishment of Power of Attorney for Russian nominee holders and foreign nominee holders relating to the exercise of rights to securities;
- introduction of a cascading system for payments linked to corporate action events such as tender offers, squeeze-outs and buy-backs;
- changes to disclosure requirements.
Impact on customers
Clearstream Banking1, together with its local market infrastructure provider, is further analysing the impact of these changes on corporate action flows and will keep customers informed of relevant changes.
Further information
For further information, customers may contact Clearstream Banking Client Services or their Relationship Officer.
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1. Clearstream Banking refers collectively to Clearstream Banking AG, registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500, and Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Trade and Companies Register under number B-9248.