Oneksimbank, one of Russia’s largest commercial banks, has won its battle for control of Norilsk Nickel, the world’s largest nickel producer. Moscow’s Arbitration Court yesterday rejected a demand by the enterprise’s incumbent management to invalidate the 38 percent controlling stake the bank acquired late last year in one of the "loans for shares" auctions organized by the Russian government. The decision caps weeks of bitter wrangling between management and the bank and is of particular importance since it validates the controversial system of auctions. Had the decision gone against the bank, it would have been a blow against the privatization process and would have opened the floodgates for a string of challenges from other enterprises where incumbent managers are trying to fight off the involvement of outside investors. (1)
IBM to Stop Producing Computers in Russia.