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16 SEPTEMBER 2005  

ALROSA shares as a gift

Forbes has published an article about ALROSA Company’s shares selling. The fact that the shares of Russian diamond monopolist are sold and purchased has been kept back till recently. Officially the structure of the CJSC is presented as following: 37% belong to the Government of Russia, 32% - to the Government of Yakutia, 8% are owned by Yakut uluses (regions) and 23% belong to the company’s staff.

However, in March 2005 the President of ALROSA Alexander Nichiporuk admitted that about 10% of the company’s shares were bought from ALROSA staff. Despite the fact that the direct purchase of CJSC shares is not legal as other shareholders have priority in buying, there is a possibility to get the shares through presenting contract.

Now several investigations are taking place in order to prevent ALROSA shares selling. Nevertheless, the price of the shares is still growing and now it has reached the level of $4000-5000 (last autumn the company established it as $2150).



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