26.03. Magnitogorsk Iron and Steel Works (MMK) is to officially announce the start of an initial public offering of its shares on the London Stock Exchange on March 26. After this, premarketing of the placement will begin, and then the road show. According to Kommersant's information, when choosing the organizing bank, MMK considered Deutsche UFG, but refused, since the bank still holds a blocking stake in the plant. Let us recall that in 2004, Deutsche UFG financed transactions to purchase a 34% stake from the state and Mechel. As a result, ABN Amro Rotschild, Morgan Stanley, Renaissance Securities, and Gazprombank were selected as underwriters for the placement. MMK plans to raise about $1 billion on the stock exchange by placing 10 to 13% of its authorized capital. The market valuation of the company will allow its owner Viktor Rashnikov to participate in M&A transactions. In particular, as sources close to MMK shareholders and investment bankers told Kommersant, Evraz Group shareholders are negotiating with MMK about a merger or sale of the company’s assets. However, Viktor Rashnikov still has not given his consent.

26.03. The Chinese manufacturer of telecommunications equipment, ZTE, and the Russian IT concern Sitronics, part of the AFK Sistema holding, will sign a protocol of intent to create a joint venture.

26.03. The Moscow Interbank Currency Exchange and the RTS Exchange, at the request of the Federal Service for Financial Markets, will begin to close trading on their platforms at 18.00. Previously, market participants could carry out transactions until 18.45.

26.03. The forum “Russia in the WTO: Strategic Opportunities” will be held in Nizhny Novgorod, in which Maxim Medvedkov, director of the Department of Trade Negotiations of the Ministry of Economic Development and Trade, will take part. It is expected that during the forum the Russian side may comment on the situation in Russia's negotiations on accession to the WTO following consultations on this issue in Washington last week.

26-29.03. The first meeting of the state commission for the development of the Far East and Transbaikalia under the leadership of Prime Minister Mikhail Fradkov will take place. According to Mr. Fradkov, “the task is to prepare a strategy for the development of this territory.” The exact date of the meeting has not yet been determined.

26-27.03. A meeting of the board of the Pension Fund is planned in Moscow. As expected, the board will informally discuss, among other things, the initiative of the head of the Pension Fund Gennady Batanov to reassign the fund from the Ministry of Health and Social Development to the Russian government.

29.03. The Bank of Russia will hold an auction to place zero-coupon short-term bonds of the Bank of Russia, issue N4-01-21BR0-7, in the amount of 140 billion rubles. Only credit organizations are allowed to participate in the auction. The limit on non-competitive applications is no more than 50% of the total volume of applications submitted by the dealer. The maturity date of the bonds is October 18, 2007. The nominal value of one bond is 1 thousand rubles.

29.03. One of the largest suppliers of ERP systems (enterprise management systems), Infor , will hold a press conference dedicated to entering the Russian market and opening a representative office in Moscow.

Topics of the week 26.03-01.04