Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Russia Utilities Advance Most Two Weeks on Dividend Regulations

Nov. 19 (Bloomberg) -- Russian utilities headed for the biggest gain in two weeks after the government approved dividend rules for state-owned companies.

MSCI Inc.’s Russia Utility Index rallied 2.3 percent to 35.66 by the close in Moscow, poised for the strongest advance since Nov. 6. OAO MRSK Holding rose 0.7 percent to 1.896 rubles. Federal Grid Co. gained 1.5 percent, while OAO Inter RAO UES added 1.1 percent to 2.47 kopeks. OAO RusHydro increased 1.5 percent to 73.42 kopeks.

The government approved regulations requiring state companies to pay no less than 25 percent of their net income in dividends, according to a website document posted Nov. 16.

“If this decree starts working, this will be very positive for investors,” Elina Kulieva, an analyst at Alfa Bank, said by phone from Moscow. “Power companies’ large capital-spending programs didn’t allow them to pay high dividends.”

To contact the reporter on this story: Ksenia Galouchko in Moscow at kgalouchko1@bloomberg.net

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.