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External management of Unipro, Fortum has no relation to ownership

Rosimushchestvo said the list of companies under external management may be expanded if necessary

© Anton Novoderezhkin/TASS

MOSCOW, April 26. /TASS/. Russian President Vladimir Putin’s decree, placing Russian subsidiaries of Unipro (indirectly owned by the German government) and Fortum under administrative receivership, has no relation to property rights, the Russian Federal Agency for State Property Management (Rosimushchestvo) has said.

"The decree has no relation to ownership, and the owners are not stripped of their assets. The administrative receivership is temporary and it means that the initial owner no longer has the right to take management-related decisions," the governmental agency said on Tuesday.

"The administrative receiver will be vested with powers that allow him to ensure the efficacy of the enterprise’s operations, given their importance for the economy of Russia," it said.

Rosimushchestvo said the list of companies under external management may be expanded if necessary.

External management will allow to ensure uninterrupted work of companies that are vital for stable functioning of the Rusisan energy sector. The move is also aimed at reducing risks that some states’ political position may create for Russia’s economic and energy security.

The document, published on Tuesday, appoints the Russian Federal Agency for State Property Management (Rosimushchestvo) as the administrative receiver. The federal agency will exercise external management over 83.73%-percent stake in Unipro Russia and over 98%-percent stake in Fortum’s Russian division. The decision was made in response to unfriendly moves towards Russia, undertaken by certain countries.

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