The State Duma adopted amendments on the creation of foreign companies in the SAR through incorporation

The State Duma adopted in the third reading amendmentswhich will allow the registration of international companies in the territory of special administrative regions (SAR) through incorporation, that is, the creation by a foreign founder of a new company in “Russian offshores”.

The amendments were designed to transfer the assets of foreign companies whose registration in Russian jurisdiction is impossible or difficult due to sanctions. According to the amendments, international companies created by incorporating “Russian offshores” – in the Kaliningrad Region and Primorsky Territory – will take the place of foreign holding companies and become holders of various assets, including shares of Russian business entities.

Companies created by incorporation will have access to more flexible corporate governance tools — more flexible approaches to the organization of management bodies and the issuance of various categories of shares, granting the board of directors the rights of meeting shareholders, including the right of veto. A foreign legal entity can act as a founder, provided that the assets of a foreign legal entity worth at least 800 million rubles are transferred to the established company within a year from the date of registration.

Currently, the creation of a person by incorporation is allowed only for international public benefit and personal funds.

More details – in the publication “Kommersant” “A new path will be paved to “Russian offshores””.

Anastasia Larina