“Magnit” will triple the volume of repurchase of shares from non-residents

“Magnet» will almost triple the volume of share repurchases from non-residents to 29.8% due to strong demand. This was reported in the press service of the company.

“The decision to increase the size of the tender offer was made due to the interest on the part of shareholders, which significantly exceeds the company’s initial expectations, as well as due to the large number of requests received by the company from shareholders to increase the volume of the tender offer in order to fully implement their packages”, – said in the message.

On the decision to buy back securities from foreign investors “Magnet» announced in mid-June. Then it was reported about the readiness to redeem up to 10% of the authorized capital, or 10.191 million shares. Now the redemption limit has been increased to 30.37 million shares.

At the same time, the terms of the buyout remained the same. The value of the securities was determined by the Foreign Investment Committee, which assumed a discount of 50% to the market value of the asset, that is, 2215 rubles. per share.

As of 19:42 Moscow time on June 28, the shares of Magnit on the Moscow Exchange were trading at the level of 5064 rubles. per piece (+4.68%).

The decision to buy assets from non-residents, whose papers were actually blocked, was made “in connection with requests from international investors.” The share buyback is expected to end on 10 August.

Until February 2022, investors from unfriendly countries accounted for a large volume of trading on the Russian stock market. And after the tightening of sanctions, the ban on the sale of securities by foreigners became one of the first measures to stabilize the situation on the market. Mikhail Burmistrov, General Director of Infoline-Analytics, in a comment to Vedomosti, said that this decision allows foreign investors to get something for their shares, taking into account the decisions made by the government commission.