Since Moscow sent its army to Ukraine in February, many Western companies – from energy producers to food and clothing chains – have left Russia.
The minutes of a meeting of a government commission overseeing foreign investment list a series of measures that could be applied to “foreign persons associated with foreign states who engage in unfriendly acts against Russian legal entities and individuals” when they sell assets.
The term “unfriendly” refers to countries that have imposed sanctions on Russia in response to its military intervention, including members of the European Union, the United States, Japan, Canada, Britain and Australia.
It was not immediately clear how the government would apply the measures and whether they would apply to every transaction.
The transactions may require an independent assessment of the asset’s value, with key performance indicators for the new shareholders, according to minutes of the Dec. 22 meeting released Friday by the Treasury Department.
One condition stated: “The sale of assets at a discount of at least 50% of the market value of the relevant asset as stated in the asset valuation report.”
Under another condition, sellers may be required to make additional payments for one to two years or to prepay 10% of the total transaction to the Russian federal budget.
A bill that would have allowed authorities to seize Western assets failed to pass parliament this summer.
But a decree signed by President Vladimir Putin on Aug. 5 prohibited investors from unfriendly countries from selling shares in the most important and transferable investments — major energy projects and banks — unless Putin granted a waiver.
