30 Sep 2009 18:05

Rosgosstrakh shareholders approve increase in charter capital

MOSCOW. Sept 30 (Interfax) - Shareholders in Russian insurer Rosgosstrakh approved an increase in the company's charter capital at an extraordinary general meeting on Wednesday, a source at the company told Interfax.

"The shareholders voted for an increase in the insurance company's charter capital, including the government's representative," the source said. The Russian government controls a stake of 25% plus four shares in Rosgosstrakh.

The source also said that budget funds would not be used in an additional share issue.

President Dmitry Medvedev earlier signed a decree setting the lowest level to which the government's stake in Rosgosstrakh could fall at 13.1%. At the same time, the Russian state will retain the right for "golden shares".

Current Rosgosstrakh shareholders are planning to buy up the new 27 billion-28 billion rubles in shares with the exception of the government. In addition, 10% of the company's shares will be offered to its employees before spring 2010.

OJSC Rosgosstrakh is part of the same named holding that also includes three regional and seven interregional insurance companies, as well as RGS-Life LLC and RGS-Medicine LLC. Rosgosstrakh collected 42.4 billion rubles in the first half of 2009.

The state owns 25% plus four shares in Rosgosstrakh. RGS Capital, which is owned by D. Khachaturov and his younger brother Sergei, own 75% minus four shares. In May 2009, the Federal Antimonopoly Service approved an application from Cyprus-based RGS Asset Limited to acquire 99.8% in RGS Capital.