Reference
The document has been drafted by the Ministry of Transport.
In accordance with Federal Law No. 216-FZ of December 3, 2012 On the Federal Budget for 2013 and the Planning Period for 2014-2015, and Federal Law No. 133-FZ of June 7, 2013 On Amendments to the Federal Law On the Federal Budget for 2013 and the Planning Period for 2014-2015, Russian Railways is to receive a contribution to its authorised share capital in the amount of 31,745,352 thousand roubles, which will be allocated for the following purposes:
- 15,539,087 thousand roubles will go towards developing the transport complex of the Moscow Region;
- 16,206,265 thousand roubles will go towards developing the common use railway infrastructure of the railway line between Mezhdurechensk and Taishet.
In accordance with Article 28, Clause 3 of the Federal Law On Joint Stock Companies (hereinafter referred to as the “Law”), the number of additionally issued shares shall not exceed the number of authorised shares as set out in the articles of association of the company. That said, under Article 27 of the Law, the company shall not be entitled to issue additional shares if the number, par value, categories (types) of shares, which the company is entitled to issue in addition to the allotted shares, and the rights vested in such shares, are not set out in the company’s articles of association. In this regard, the decision to increase the share capital of Russian Railways has set the number of authorised ordinary registered book-entry shares at 31,745,352 shares with a par value of 1,000 roubles with the same rights as ordinary registered book-entry shares issued at the time of incorporation.
In accordance with Article 28, Clause 4 of the Law, the decision to increase the company’s share capital by issuing additional shares shall set out the number of additional ordinary and preferred shares of every type, which shall not exceed the number of authorised shares of the relevant category (type), and the mode of offering, the offer price of additional shares placed by subscription or procedures for determining the price, including the offer price or the procedures for determining the offer price with regard to parties with a pre-emptive right to acquire the issued shares, the form of payment for shares placed by subscription, and may also specify other terms of offer.
The Standard Terms for Issuing Shares and Registering Securities Prospectus as approved by Order No.07-4/pz-n of January 25, 2007 by the Federal Service for Financial Markets sets out a number of additional requirements, such as stating to which parties the additional shares will be issued, the property accepted for payment of shares and the procedure for determining the issue date with regard to additional shares.
The implementation of the directive will not require any additional allocations from the federal budget.