Russia mulls delisting firms’ depositary receipts from foreign exchanges

MOSCOW: Russia’s Economy Ministry has proposed delisting Russian companies’ depositary receipts from foreign exchanges, the Interfax news agency reported on Tuesday, citing a source familiar with the proposal prepared by the ministry.

The price of the depositary receipts of major Russian companies on the London Stock Exchange (LSE) plunged - by more than 90% for some firms - after Moscow started what it calls “a special military operation” in Ukraine on Feb. 24.

The LSE suspended trading in the depositary receipts — which represent shares in a foreign company — of Russian companies in early March.

The Russian companies’ receipts would be subsequently converted into Russian securities under the economy ministry’s proposal, Interfax quoted its source as saying.