Payment of the Redemption Price

If the redemption price has not been agreed during the arbitration proceedings, the shares nevertheless immediately transfer to the redeemer, if he has given a security which the arbitrators find acceptable. A security can only be given when the existence of the redemption right is unambiguous. The trustee keeps the security safe for the minority shareholders.

The redemption price for the share is determined on the basis of the running price preceding the bringing of the arbitration proceedings (i.e. the share's market price). Interest must be paid on the redemption price for the time after the arbitration proceedings were brought. If a compulsory bid has preceded the redemption proceedings in public companies according to the Securities Markets Act, then the running price will be determined by the price offered in the bid, unless there is a specific reason to do otherwise.

The redemption price (incl. interest) must be paid within a month from the final judgment. So, if the shares have not yet transferred to the redeemer by giving a security, they will transfer on payment of the redemption price. If payment is not made on time, then late interest will be added to the price.

When the minority shareholders are not known or the shares cannot for another reason be redeemed the redeemer can pay the redemption price by depositing the money with the Regional State Administrative Agencies. The deposit is made by paying the money into the Regional State Administrative Agencies' bank account. The deposit remains with the Regional State Administrative Agencies for ten (10) years, after which the person, who made the deposit has one (1) year to reclaim the deposit. Otherwise the deposit reverts back to the state.

If the redeemer does not gain possession of the share certificates of the minority shareholder or shareholders, he/she has the right to receive a new share certificate in place of the original share certificate, into which a note must be made that it replaces the earlier share certificate.