May 12, 2022
Russia Allows Norilsk Nickel to Keep ADRs Traded Abroad
Bloomberg News
,![Cauldrons hang inside the metallurgical shop of the JSC Kola Mining & Metallurgical Co (Kola MMC) plant, a unit of MMC Norilsk Nickel PJSC, in Monchegorsk, Russia, on Thursday, Feb. 25, 2021. Copper extended its breakneck rally, moving closer to a record high set a decade ago, as investors pile into metals on bets that rebounding economies will further tighten supplies. Photographer: Andrey Rudakov/Bloomberg, Bloomberg Cauldrons hang inside the metallurgical shop of the JSC Kola Mining & Metallurgical Co (Kola MMC) plant, a unit of MMC Norilsk Nickel PJSC, in Monchegorsk, Russia, on Thursday, Feb. 25, 2021. Copper extended its breakneck rally, moving closer to a record high set a decade ago, as investors pile into metals on bets that rebounding economies will further tighten supplies. Photographer: Andrey Rudakov/Bloomberg](/polopoly_fs/1.1764989.1652361200!/fileimage/httpImage/image.jpg_gen/derivatives/landscape_620/cauldrons-hang-inside-the-metallurgical-shop-of-the-jsc-kola-mining-metallurgical-co-kola-mmc-plant-a-unit-of-mmc-norilsk-nickel-pjsc-in-monchegorsk-russia-on-thursday-feb-25-2021-copper-extended-its-breakneck-rally-moving-closer-to-a-record-high-set-a-decade-ago-as-investors-pile-into-metals-on-bets-that-rebounding-economies-will-further-tighten-supplies-photographer-andrey-rudakov-bloomberg.jpg)
(Bloomberg) -- Miner MMC Norilsk Nickel PJSC became the first Russian company to say it received government approval to keep its American depositary receipts traded abroad after a recent ban on international listings.
The nickel and palladium giant obtained permission for its ADRs to continue trading through late April 2023, it said in a statement. The approval gives time “to assess the existing opportunities, as well as to work out the necessary decisions aimed at maintaining investment attractiveness in the long term,” it said.
President Vladimir Putin last month signed law amendments requiring trading in depositary receipts of Russian companies on foreign exchanges to stop. The rules allowed for special carve-outs if companies request permission to continue trading.
READ: Putin Calls Time on Foreign Listings in Fresh Hit to Tycoons
Large exporters, including Russia’s biggest steelmaker Novolipetsk Steel PJSC and gas producer Novatek PJSC, also applied for exemption. Gazprom PJSC said on April 29 that its request was rejected and it will delist depositary receipts.
Nornickel’s ADRs are held not only by minority investors, but by major shareholders too, including billionaire Vladimir Potanin, allowing them to receive dividends in dollars rather than in rubles.
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