Uralkali shareholders approve merger with subsidiary, cancellation of treasury stock
MOSCOW. Aug 1 (Interfax) - Shareholders in Uralkali approved the company's merger with a subsidiary, Uralkali-Technology, at an extraordinary meeting on July 31, the company said in a press release.
Following the merger, Uralkali shares held by the subsidiary on the merger date will be cancelled and the share capital of Uralkali will be reduced accordingly, the press release says.
"This reorganization aims to improve the Company's operating efficiency through the reduction of production expenses and management costs. The Company will also cancel its shares held by the subsidiary, which follows best global practices and confirms our commitment to increase Uralkali's shareholder value," Uralkali CEO Dmitry Osipov is quoted in the press release as saying.
Uralkali will pay 142.51 rubles per share to shareholders who oppose the reorganization.
Share capital is split into 2,936,016,000 ordinary, 0.5-ruble shares.
Mikhail Prokhorov's Onexim owns 21.75% of Uralkali (another 5.34% is held by structures close to Prokhorov, according to Interfax sources), UralChem has 19.99% and Chinese Chengdong Investment Corporation (CIC) has 12.5%.
