Member Article

Dear Sirs,

On June 1, 2010 the Government of the Russian Federation adopted amendments to the Decree of the Government of the Russian Federation on Establishing Value of Assets of Credit Organizations for the Purposes of Antimonopoly Control No.335 dated May 30, 2007 (hereinafter “Decree on Establishing Value of Assets of Credit Organizations”). These amendments, worked out by the Federal Antimonopoly Service of Russia (FAS Russia), increase the value of assets of credit organizations for the purposes of antimonopoly control. The new edition of the Decree on Establishing Value of Assets of Credit Organizations came into force on 15 June 2010.

In accordance with the Decree the previous assets thresholds for pre-transaction clearance and post-transaction notification in respect of credit organizations’ merger and acquisition, transactions regarding their shares, assets, rights were increased as follows:

• RUR 33 bln. (approx. USD 1,06 bln) instead of RUR 24 bln (approx. USD 775 mln) by credit organizations’ merger and acquisition;
  
• RUR 33 bln (approx. USD 1,06 bln) instead of RUR 25 bln (approx. USD 806 mln) by incorporation of credit organizations in charter capital of which shares and (or) assets of other credit organizations are contributed and by pre-transaction clearance for transactions related to shares, assets, rights of credit organizations;
  
• RUR 2,5 bln (approx. USD 80,6 mln) instead of RUR 2,0 bln (approx. USD 64,5 mln) by post-transaction notification for transactions with shares, assets, rights of credit organizations;
  
• RUR 390 bln (approx. USD 12,6 bln) instead of RUR 300 bln (approx USD 9,7 bln) by control over agreements between financial organizations.

The raise of thresholds for the purposes of antimonopoly control reflects the tendency to identify and consider only applications on those transactions, when the state of competition can be indeed affected.

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We hope the information above is helpful for you.

For more information on ALRUD Competition practice please visit our Web-site

or contact directly Senior Partner Vassily Rudomino [email protected]

 

Kind regards,

ALRUD Law Firm

Please note: This Newsletter should not be considered as a ground for making any decision regarding a particular issue. All the information for this Newsletter was taken from the public sources.