Ulaanbaatar
Gov’t to purchase Erdenes Tavantolgoi shares owned by citizens
PoliticsUlaanbaatar /MONTSAME/ At its irregular meeting held Thursday, the cabinet resolved to purchase the Erdenes Tavantolgoi company’s shares which are owned by citizens of Mongolia.
In accordance with the decision, the government will buy 323 units or 30% out the 1,072 shares owned by the citizens with its nominal value, but it is not compulsory for the people to sell the stocks. It will be done under a voluntary basis.
In the future, the Government plans to purchase the rest of the shares or 70% from citizens through the Mongolian Stock Exchange (MSE) in frames of the “Good shares” measure.
The government has the exclusive right to purchase the people-owned Erdenes Tavantolgoi shares, which means that people cannot sell their shares to other people or entities. Before this decision, the government purchased the Erdenes Tavantolgoi’s shares from some people.
By April of 2012, two million and 858 thousand people were owning the Erdenes Tavantolgoi shares. Out of these people, 278 thousand students (in duplicated counting) received MNT 138 billion through sales of the Tavantolgoi stocks, 615 thousand people--MNT 4.8 billion in forms of the health insurance deduction, 322 seniors and people with disabilities--MNT 322 billion. It means that one million and 216 thousand people have benefitted from the TT shares in various ways with a total value of MNT 464.8 billion.
Other people are able to sell their 323 units of shares to the government in scope of the “Good stocks” campaign.
