Vladimir Putin allowed transactions with stakes in ALROSA and Polyus

AK&M 08 December 2022 18:11

Russian President Vladimir Putin has authorized transactions with 50.9 million ordinary shares of ALROSA and 129.7 thousand ordinary shares of Polyus. The corresponding decree of the head of state is published on the portal of legal information.

"...to allow transactions (operations) entailing, directly and (or) indirectly, the establishment, modification, termination or encumbrance of the rights of ownership, use or disposal of 50923110 ordinary shares of ALROSA Joint stock company (public joint stock company); 129736 ordinary shares of Polyus joint stock company," the order says.

ALROSA (TIN 1433000147) is one of the largest diamond mining companies in the world, accounting for 97% of all Russian diamonds and about 25% of world production. The company includes: "ESO ALROSA", "ALROSA Diamonds", as well as Aikhalsky, Mirninsky, Udachninsky and Nyurbinsky GOK. The largest shareholders of ALROSA are Rosimushchestvo and the Republic of Sakha (Yakutia).

ALROSA's net profit under IFRS for 2021 increased 2.8 times to 91.3 billion rubles from 32.2 billion rubles a year earlier. Revenue increased by 50% to RUB 332 billion from RUB 221.5 billion, EBITDA increased by 59% to RUB 139.5 billion from RUB 87.6 billion.

Polyus ranks first among the world's largest gold mining companies in terms of gold reserves and fourth in terms of production, demonstrating the lowest costs among leading global producers. The company's main production facilities are located in Siberia and the Far East: on the territory of the Krasnoyarsk Territory, Irkutsk and Magadan regions, as well as the Republic of Sakha (Yakutia).

Polyus' profit under IFRS for the first half of 2022 increased by 27% to $1.39 billion from $1.09 billion a year earlier. Revenue decreased by 19% to $1.8 billion from $2.27 billion, adjusted EBITDA - by 26% to $1.2 billion from $1.64 billion.