Cherkizovo notifies depository of automatic conversion of GDRs into shares

The Cherkizovo Group has sent a notice to the depositary, JSC Raiffeisenbank, about the need for automatic conversion of GDRs into shares.

The notification was sent on the basis of Law No. 114-FZ "On Amendments to the Federal Law "On Joint Stock Companies" and Certain Legislative Acts of the Russian Federation" and in accordance with the decision of the Board of Directors of the Bank of RUSSIA "On Establishing the Procedure for Automatic Conversion of Securities of Foreign Issuers Certifying rights in respect of shares of Russian issuers, into shares of Russian issuers," the company said

Cherkizovo GDRs have not been traded on the London Stock Exchange for more than four years: the company decided to delist from the LSE in November 2017, the delisting took place in February 2018. The decision to terminate the listing of GDRs was made taking into account a significant decrease in the volume of free float receipts, in accordance with the new strategy in the capital markets, Cherkizovo decided to consolidate free float on the Moscow Exchange.

In May 2022, the company sent The Bank of New York Mellon a notice of termination of the depositary agreement, on the basis of which the placement of securities was carried out.

Cherkizovo is one of the largest Russian producers of pork, poultry, turkey and MEAT processing products. The main owner of the company is the family of its founder Igor Babaev. The Spanish Grupo Fuertes owns 11.12%. Free float - just over 2%.