Rusal raises bar in Nornickel dispute with fresh claims against Potanin

Aluminum giant Rusal has added fresh claims to its legal dispute against Russian billionaire Vladimir Potanin, CEO and largest shareholder of metals producer Nornickel, court documents seen by Reuters showed.

The new claims allege that the creation of digital exchange platform Atomyze and launch of an employee incentive scheme by Nornickel benefitted Potanin at the expense of other shareholders like Rusal. The development is the latest flare-up in a long-running dispute between two of Nornickel’s largest shareholders.

Potanin holds a 37% stake in Nornickel through his Interros holding company, while Rusal holds 26.4% and former Chelsea Football Club owner Roman Abramovich has a 4% stake.

Nornickel, the world’s largest palladium producer and a major miner of refined nickel, declined to comment as it is not a party in the lawsuit.

Rusal confirmed it had added to the claim, saying that Atomyze’s development and the employee incentive scheme were done in Potanin’s interest at Nornickel’s expense. Rusal estimated that Nornickel spent around $87 million on these projects.

Interros referred Reuters to a previous comment in which it said it considered Rusal’s claims as unfounded.

Rusal is suing Potanin in London, claiming that he violated a shareholder agreement signed in December 2012, causing losses for shareholders including Rusal. Abramovich and his firm Crispian Investments Ltd were subsequently added as defendants in the case.

The shareholder agreement, which had protected Nornickel’s dividend payouts, expired at the end of 2022. Disagreements over dividends and governance have been the main reason for on-and-off rows between the two companies over the years.