MigCredit MFC's parent entity completes re-registration from Cyprus to Russia

MOSCOW. Dec 25 (Interfax) - Denum LLC, which manages MigCredit microfinance company (MFC), has completed the redomiciling process from Cyprus to Russia, the holding group said.

Denum LLC has completed a number of transactions and operations that have allowed Alexander Mamut, the ultimate beneficiary, to assume direct ownership of the holding's Russian assets. Cyprus-based MigCredit Holdings Limited was the previous owner of Denum LLC.

The Denum group of companies is consequently no longer subject to the provisions of the law on microfinance activities, which, as of January 1, 2025, prohibit legal entities registered in offshore zones from owing, either directly or indirectly, over 10% of the shares (stake) in microfinance organizations.

Russia's government subcommittee overseeing the implementation of foreign investments in Russia granted permission to restructure and transfer to the ultimate owner the group's Russian companies from foreign holdings in so-called unfriendly jurisdictions.

Restructuring Denum, with the primary goal to shed its offshore status, expands freedom of action, removes restrictions from regulators in unfriendly countries, and provides additional opportunities to implement the group's business development strategy, Denum said.

Established in 2022 and controlled by Denum LLC, the Denum holding group unites various fintech companies and services that specialize in operating in underbanked niche markets. The holding group manages MCC Papa Finance, as well as Denum Tech and Denum Solutions (the Denum Pay in Parts brand), in addition to MigCredit.