Cbank says issuers must delist from Western bourses till May 5

MOSCOW, Apr 19 (PRIME) -- Russian issuers must initiate delisting from foreign stock exchanges until May 5 or ask the government for a permit for further circulation, as seen by PRIME in the central bank’s materials on Tuesday.

Earlier in April, the State Duma, parliament’s lower house, approved a bill to delist Russian companies’ depositary receipts from the Western stock exchanges and their further conversion into local shares.

The law envisages a ban on circulation of Russian depositary receipts on the Western bourses 10 days after publication. The issuers must terminate all contracts within five days, and report to the central bank within the next five days. The decisions do not need approvals of the companies’ boards of directors or meetings of the shareholders.

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