TransContainer sees no reason for buyback in connection with United Transport co project
MOSCOW. June 27 (Interfax) - The management of OJSC TransContainer sees no legal justification to buy back shares from minority shareholders in connection with the transfer of a controlling stake to the United Transport and Logistics Company (UTLC) between Russia, Belarus and Kazakhstan, TransContainer's Director for the Stock Market and Investor Relations Andrei Zhemchugov said during a Thursday conference call with analysts.
"An offer is mandatory if there is a change in ownership. In theory, it's quite obvious that the entire economic logic of this project is that OJSC Russian Railways' (RZD) stake cannot remain below 20% under any circumstances in UTLC's existing configuration. In fact, it will probably be substantially higher. On the basis of the letter and spirit of existing law, TransContainer will continue to stay in one group of entities with RZD even after a controlling stake in the company is transferred to UTLC's charter capital. Therefore, we don't see any legal justification for a mandatory buyback of TransContainer's shares by the new owner," he said.
"This is exclusively a question of the project's economics, and not of any special structuring," Zhemchugov said.
At this point, the founders are proceeding from the assumption that TransContainer will remain a public company with a listing in Moscow and London (it had its IPO in 2010).
"Accordingly, all of the company's corporate management principles and procedures will be fully retained," he said.
