EuroChem Group statement on ownership and control
Zug, Switzerland, June 21, 2022 – EuroChem Group AG (hereafter, ‘EuroChem’), a leading global fertilizer company, issues the following statement on ownership and control.
EuroChem Group AG is not sanctioned, has never been sanctioned, and is free to continue with its important mission of supplying high-quality crop nutrients to world markets. It complies with all applicable laws at all times.
EuroChem is majority-owned and controlled by EU trustees of a trust, whose beneficiary, Aleksandra Melnichenko, has no majority ownership of, nor influence over, EuroChem. Therefore, EuroChem is not controlled by any sanctioned person.
Any reports that former or current beneficiaries are majority owners, part of the management structure or wield influence over company affairs in any way are demonstrably false. EuroChem will fight such claims vigorously to protect the company’s reputation as a leading global fertilizer producer.
Furthermore, it is incorrect to state that EuroChem’s founder, Andrey Melnichenko, “handed over,” or “signed over” the company, or “control” of the company, to Aleksandra Melnichenko. Any such characterization is completely false. On March 8, 2022, Mr Melnichenko exercised his sole right to irrevocably cease to be a beneficiary of the trust. The trustees recognized that Aleksandra Melnichenko succeeded Mr Melnichenko automatically as beneficiary.
Beneficiaries of the trust have no fixed right to income or capital of the trust. Any decision to distribute income or capital is made at the trustees’ sole discretion. Trustees must comply with sanctions law, which prohibits the provision of funds to sanctioned individuals.
EuroChem’s full compliance with sanctions law has been recognized and accepted by several national authorities, allowing the company to continue producing and distributing fertilizers to world markets.
The company, meanwhile, remains financially and operationally strong with a good liquidity position, and looks forward to building further upon its market position. EuroChem is grateful to both its employees and its thousands of customers in more than 100 countries for their continued support.
EuroChem is a leading global fertilizer producer, and one of only three companies worldwide with manufacturing capacity in all three primary nutrient groups: nitrogen, phosphates and potash. A vertically integrated company, EuroChem is expanding its mining, production and distribution capacities in key regions around the world. The company’s growth is primarily driven by the ramp-up of two large-scale potash projects and new state-of-the-art ammonia and urea facilities, and underpinned by an operational efficiency drive across the full value chain. The Group employs more than 27,000 people in 40 countries, and with a product reach of more than 100 countries.