The sale price for the interest was determined on the basis of the same per-share price, RUB4.4275, of Enel Investment Holding’s (EIH) public tender offer for OGK-5.
Following the sale of the stake in OGK-5 to the European Bank for Reconstruction and Development (EBRD), EIH retains a holding of about 55.8% of OGK-5 share capital, sufficient to ensure effective control of the company through the power to nominate a majority of the members on its board of directors.
The parties had previously signed shareholders’ agreements that confirm EIH’s commitment to transfer international best practices in environmental protection to OGK-5, and to apply corporate governance principles that safeguard the rights of OGK-5’s minority shareholders.
Established in 2004 as part of the Russian electricity industry reform, OGK-5 is one of six generation companies involved in the privatization process, with assets located around the country, including four generation plants in some of the most developed and fastest growing regions.
