OAO Trade is experiencing severe fi nancial difficulties and must raise cash quickly if it is to survive. Andrei, the general director, has suggested that the company should sell its prestigious Moscow offi ces and then lease alternative premises, thereby securing the future of the company in the medium-term. Andrei has also informed his colleagues that a company in which his family owns 30% of the shares is prepared to purchase the Moscow offi ces, though it would expect to pay somewhat less than the full market value of the premises in return for a quick purchase.Andrei’s recommendation has angered some of the shareholders in the company, as the offi ces represent a substantial proportion of the company’s assets.Required:Explain how the shareholders are protected in this situation, and the actions they can take in order to ensure that the best interests of the company are served. (10 marks)
