A number of extracts from the decisions of the Subcommittee of the Governmental Commission have been published on the website of the Ministry of Finance of the Russian Federation, including the latest No. 193/4 dated 26 September 2023, regarding the conditions for carrying out transactions with persons from unfriendly countries for the sale of assets in accordance with the counter-sanction Decrees of the President of the Russian Federationю According to said extracts, the approval of such a a transaction may be obtained subject to the following conditions:
- Availability of a report on the market value of assets (valid for 6 months), prepared by an appraiser included in the list of appraisers recommended by the Subcommittee for carrying out appraisals, confirmed by the conclusion of a self-regulatory organization included in the list of recommended SROs;
- Sale of assets at a discount of at least 50% of the market value;
- Voluntary contribution to the budget in the amount of at least 15% of the market value of assets within three months from the date of the transaction;
- Establishing key performance indicators for the buyer and (or) acquired business, which should include:
- preservation of jobs, technological potential and the main type of economic activity of the acquired company;
- fulfillment of obligations under current contracts;
- making settlements under the transaction:
- using a type “C” account; or
- in rubles within the banking system of the Russian Federation; or
- by transferring funds to the seller’s account in a foreign bank if there is an installment plan;
- If an option is provided for, it is necessary to take into account the following circumstances:
- the repurchase of the asset shall be carried out at the market value on the date of exercise of the option;
- there shall be an economic benefit in having the option for the resident owner of the asset;
- the validity period of the repurchase permit shall be limited (usually no more than two years from the date of the initial transaction);
- placement of up to 20% of the acquired shares of a public company at organized auctions;
- the applicant has other permits provided for by the legislation of the Russian Federation necessary to carry out the transaction (for example, the consent of the Federal Antimonopoly Service of Russia). At the same time, such permits in practice are considered as a condition for issuing a permit by the Subcommittee of the Governmental Commission and, accordingly, shall be obtained before consideration of the transaction by the Subcommittee of the Governmental Commission.
The above conditions that have developed to date, are intended to ensure the effectiveness of the procedure for considering applications.