The findings were revealed at the “Mergers and Acquisitions in Russia 2024” Conference. ALRUD, KKMP, Melling, Voitishkin & Partners, Nikolskaya Consulting, Mansors, and Stonebridge Legal also took part in the study.
The study covers a wide range of M&A transaction-related topics, from applicable law and dispute resolution to transaction structure and form, as well as approaches to risk allocation between parties.
The key findings:
61% of M&A transactions in Russia are governed by Russian law, this reflecting the evolution of the Russian legal system and emphasis on applying national law to domestic transactions.
80% of disputes arising from M&A transactions are resolved by commercial arbitration.
Over 40% of M&A transaction disputes are referred to Russian arbitration (the Russian Arbitration Centre, ICAC or RUIE (the Russian Union of Industrialists and Entrepreneurs)) for final resolution. The Hong Kong International Arbitration Centre (HKIAC) resolves 25% of disputes, while the Dubai International Arbitration Centre (DIAC) settles 7%.
In 50% of transactions, the buyer acquires less than 100% of company shares/ownership.
In 86% of transactions, the seller negotiates with a single potential buyer. Only in 14% of deals have sellers solicited bids from several potential buyers.
To read the complete study, please get in touch with your contact at Orion or send an email to bd@orion-law.com.
Learn more about the Conference: Mergers and Acquisitions in Russia