Operation “Delisting” – Economic War News
Collective West struggling to find new sanctions against Russia. Here is the latest
The economic war by Collective West against Russia is becoming deeper and deeper. The ineffectiveness of that war is making the west show its true face full of hatred.
Cessation of stock trading ( delisting ) « Yandex », Qiwi, Ozon and Headhunter on the NASDAQ exchange is another unfriendly action of the United States. The Russian economy will not suffer. However, these companies will lose external financing. It is according to Associate Professor, Department of World Economy, NRU HSE Alexander Zaitsev.
West decided to hit stocks
« Delisting Russian companies is an obvious development of the history of the sanctions. Listed companies will lose the opportunity to place their shares abroad and receive external financing »
Placing shares in the global market allows you to attract money for business development. Blue chips ( shares of leading companies, mainly the oil and gas sector ) dominate the Russian Federation. That limits investment opportunities for structures like Ozon and Qiwi.
The delisting procedure involves the termination of the trading of the company’s shares, as a result of which the issuer receives a decrease in the value of its securities, a negative information background and low investment ratings.
« The West began to block external financing of the Russian economy in 2014. Then sanctions were imposed against the oil and gas and defence industry companies. Now the restrictions are expanding to the Russian consumer sector »
The logic of unfriendly countries is understandable. Americans and their satellites plan to block access to their market for all Russian companies gradually. However, as with everything else, it works both ways. This also means American investors will be denied access to good quality companies from Russia.
On March 15, 2023, the NASDAQ exchange announced plans to delist shares of Russian companies such as « Yandex », Ozon, Qiwi and HeadHunter.
If the listed structures do not appeal the decision, the process will be completed on March 24. Ozon said they would appeal to NASDAQ. However, the general trend is clear. The United States will continue to squeeze out Russian companies from the western market by directly blocking activities or creating unbearable conditions.
The Russian economy will not suffer
After delisting in the United States, affected companies cannot develop Western-style business structures. For the Russian economy, the NASDAQ solution will be fine. In general, there are too few players in the Russian Federation who are affected by this story.
« Russia has little to do with the western stock market, only the largest structures have entered it. Most of the domestic business relies on domestic financing and its own funds »
Until 2014, the Western market was interested in securities of such structures as « Gazprom », « Rosneft », « Lukoil », and « Sberbank », but not Russian startups or venture capital funds, which in the United States usually raise funds by entering the ( stock of the recent Bank Silicon Valley collapse ). After the Crimean events, only rare companies could afford the listing in the West.
The NASDAQ list includes Ozon, Qiwi, « Yandex », and Headhunter, who provide IT and financial services and are engaged in sales, a case with a guaranteed result. Their business will receive some damage, but it will surely resist.
Otherwise, Russian business has never sought a listing in the West.
« Placement of shares is the sale of a share in the ownership of the company, only a few leading players are engaged in this, and not always, but only in some cases »
The story with NASDAQ is just beginning. Some companies from the list will conduct a long and humiliating process of dealing with the American stock exchange regulator. It will, in any case, make a negative decision for them.
The United States continues to seek opportunities to pressure the Russian Federation and squeeze out any Russian participation from the Western economy. Significant sanctions have already been exhausted. However, frustration with sanctions failure is showing through these completely ineffective acts of hostility.
Western acts of hatred and desperation – example
In March 2023 in Germany, the company was fined for the supply of a hydraulic hammer to the Russian Federation for the construction of the Crimean bridge.
According to media information, the sold hammer was used to construct the Crimean bridge.
It is noted that the company supplied equipment to the Russian Federation between 2016 and 2017, bypassing sanctions.