Russian Economic Development Ministry drafts bill to protect minority shareholders’ rights
MOSCOW, October 10 (RAPSI) – Russia’s Ministry of Economic Development and Trade drafted a bill on protection of minority shareholders’ rights, according to the official legal information website.
The ministry proposes to defend minority shareholders from dilution of their dividend rights and participation interests in a company’s authorized capital due to issue of preferred stock.
Under the bill, minority shareholders who own ordinary stock would be granted preferential right to acquire preferred shares allotted for the first time.
Amendments are proposed to the Law On Joint-Stock Companies.