RusHydro and Voith Hydro held the first meeting of the VolgaHydro joint venture
JSC RusHydro (ticker symbol: MOEX, LSE: HYDR; OTCQX: RSHYY) together with Voith Hydro held the first meeting of shareholders of VolgaHydro LLC, a joint venture (JV) aimed at manufacturing hydroturbine equipment, that will be located in Balakovo city of the Saratov region. Mikhail Mantrov, Deputy Chairman of the Management Board of RusHydro, and Dr. Leopold Heninger, CEO and President of Voith Hydro, chaired the meeting.
The meeting of shareholders elected 6 members to the Board of Directors of VolgaHydro LLC:
The meeting of shareholders also elected the JV’s Audit committee and approved regulations of the Board of Directors and Audit committee of VolgaHydro LLC. The production is expected to be launched in December 2015, reaching its full capacity by 2020.
VolgaHydro LLC was registered in August 2013. RusHydro will hold a controlling stake in JV. Voith Hydro will be responsible for operational management, and RusHydro will appoint the financial officer of JV. The companies will make the decisions on all important issues together. RusHydro’s share in the share capital is 50% plus RUR 1, the share of Voith Hydro is 50% minus RUR 1. The initial paid share capital amounts to RUR 8.12 mn. The economic efficiency of the JV will be achieved through manufacturing of the equipment for RusHydro and other companies in Russia and abroad, including cooperation under service agreements.
The information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of RusHydro. You can identify forward looking statements by terms such as "expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may" or "might," the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially from these statements. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industries, as well as many other risks specifically related to RusHydro and its operations.
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