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Russia equities update: POG sold, Evraz going back to paper shares

Administrators have sold off Petropavlovsk for $600mn to a fellow Russian miner while Evraz and Polymetal retain their listings
Russia equities update: POG sold, Evraz going back to paper shares

Almost six months after Russia's invasion of Ukraine, the initial sell-off has largely been proved prudent as companies go bust because of sanctions and others struggle to keep trading even while maintaining a London listing.

This week, administrators and a court confirmed the sale of delisted gold miner Petropavlovsk, which went under because sanctions blocked its ability to pay off a loan from Gazprombank, which demanded full repayment in April.

The $600mn (£494mn) sale price from Ural Mining & Metallurgical Co (UMMT) will go to creditors, not shareholders, however. "The administrators anticipate that the sale proceeds will be sufficient to pay the creditors in full but without any return for shareholders," said Opus Business Advisory Group. Opus partner Allister Manson said last month a sale of Petropavlovsk's assets would mean the board had "fulfilled its duty to deliver the best outcome for UK creditors and western bond holders". 

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