En+ says Deripaska agrees to cut stake in En+ Group to below 50%

MOSCOW, Apr 27 (PRIME) -- Russian tycoon Oleg Deripaska has agreed to cut his stake in multi-industry holding En+ Group to below 50% and to leave the board of directors of the company, En+ Group said in a statement on Friday.

On April 6, the Office of Foreign Assets Control (OFAC) of the Department of the Treasury of the U.S. blacklisted En+ Group among other companies and individuals, including Deripaska and his other company – aluminum giant UC RUSAL.

“The company is also aware that, following a series of discussions with the company's independent chairman, Lord Barker of Battle, Oleg Deripaska has agreed in principle to the chairman's request that Deripaska reduce his shareholding in the company to below 50%,” the statement read.

“In addition, in conjunction with efforts to engage with OFAC as described above, Deripaska has agreed with the chairman's proposal that he will resign from the Board and consent to the appointment of certain new directors such that the Board will comprise a majority of new independent directors.”

The company also said that it asked OFAC to prolong the authorization period for company’s operations to October 31 or any date that OFAC considers appropriate from the previously set deadline of May 7. Without the extension, the company’s ability to maintain listing of its global depositary receipts (GDRs) on the London Stock Exchange “will be materially impacted,” the company said.

“The company continues to work to protect the interests of its investors, including those holding a minority position, and will make further announcements as soon as possible,” the statement read.

End