Key takeaways

• A pending bill would extend the range of transactions of foreign investors subject to preliminary clearance by the Russian government.
• The bill broadens the powers of the chairman of the commission on foreign investments by allowing him to request clearance of any transaction involving foreign investors.
• The bill allows the Russian government to impose open-ended restrictions on foreign investors as a condition to clearance.
• Foreign investors that fail to notify the Russian competition authority (FAS) upon acquisition of more than 5% in interest of a company of strategic importance can be deprived of their voting rights.