On 22 February 2023 the Ministry of Finance published on its official website a list of appraisers that the Ministry recommends to involve in the valuation of assets to obtain permits from the Government Commission within the framework of Presidential decrees No 79 of 28 February 2022 and No 81 of 01 March 2022. The list includes 42 appraisal organizations recommended for evaluation of business (stocks, shares, units) and real estate, and only real estate.
Earlier, the Ministry of Finance published an Extract from the minutes of the meeting of the subcommittee of the Government Commission for the Control of Foreign Investment in the Russian Federation No 118/1 of 22 December 2022. The Ministry of Finance obliged to carry out assessment of the value of assets and provide a valuation report alongside with the documents for obtaining the appropriate permission. The issued permit may also include a condition for the sale of assets at a discount of at least 50% of the market value of the relevant assets indicated in the asset valuation report.
The abovementioned extract defines that the term ‘assets’ includes a closed list of objects – securities, including stocks, shares (deposits) in the authorized (stock) capitals of Russian business. Real estate is directly listed in the designated assets.
At the same time, the list of appraisal
organizations published by the Ministry of Finance contains information about
appraisals of real estate, which allows us to conclude that assets should be
broadly interpreted for the purposes of this Extract. Therefore, value of real
estate should be also valuated to obtain permits for transactions, involving persons
from unfriendly countries.