24th Dec 2009 07:16
Press-release
Krasnodar
December 24, 2009
OJSC "Magnit" announces information on the decisions of the BOD to approve a major transaction
Krasnodar, December 24, 2009: OJSC «Magnit» (the "Company"; RTS, MICEX and LSE: MGNT) announces information on the decisions of the BOD to approve a major transaction.
Dear Ladies and Gentlemen,
We would like to inform you that the Board of OJSC "Magnit" directors held on December 23, 2009 approved the major transaction (several inter-related transactions).
The essentials of the transaction are as follows:
The subject of the transaction:
Placement by means of open subscription of non-convertible interest-bearing certified exchange-traded bonds of the BO-01, BO-02, BO-03, BO-04 series to the bearer with the obligatory centralized custody in the amount of 5,500,000 (five million five hundred) with the nominal value of 1,000 (one thousand) rubles each (hereinafter referred to as - the "Exchange-traded bonds"), with the total nominal value of 5,500,000,000 (five billion five hundred million) rubles placed by means of open subscription at the price of 100 (hundred) per cent of the nominal value of the Exchange-traded bonds which amounts to 1,000 rubles each, with the redemption period on 1,092nd (one thousand ninety-second) day after the commencement date of placement of the Exchange-traded bonds of the corresponding series by cash by means of non-cash settlement in the currency of the Russian Federation, providing coupon yield payment in the amount set in accordance with the Decision on securities issue the Prospectus.
Placement price of the Exchange-traded bonds amounts to 100 (hundred) per cent of their nominal value.
The parties of the transaction:
The Issuer of the Bonds - OJSC "Magnit", natural and legal bodies - purchasers of the Exchange-traded bonds of OJSC "Magnit".
The price of the transaction:
Nominal value of the Exchange-traded bonds amounts to 5,500,000,000 (five billion five hundred million) rubles - which is in aggregation with the coupon yield paid for the whole period of the floatation of the Exchange-traded bonds. The amount of the coupon yield (interest rate) is defined by OJSC "Magnit" pursuant to the terms and procedures stipulated by the Decision on securities issue and the Prospectus.
The minutes of the Board meeting is executed as of December 23, 2009 w/o No.
For further information, please contact:
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Oleg Goncharov
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Director, Investor Relations
e-mail: [email protected]
Tel. in Krasnodar +7 (861) 277-45-54, 210-98-10 ext. 5100
Mob.: +7 (903) 411-40-35
Direct line for investors only: +7 (861) 277-45-62
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Dina Svishcheva
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Manager, Investor Relations
e-mail: [email protected]
Tel. in Krasnodar +7 (861) 277-45-54, 210-98-10 ext. 5101
Mob.: +7-961-511-02-02
Direct line for investors only: +7 (861) 277-45-62
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Company description:
Based in Krasnodar, in the Southern region of Russia, Open Joint Stock Company "Magnit" is the holding company for a group of entities that operate in the retail trade under the "Magnit" brand. The chain of "Magnit" stores is one of the leading food retail networks in Russia. As of September 30, 2009 the chain consisted of 2,960 convenience stores and 21 hypermarkets in 974 locations in the Russian Federation.
Approximately two-thirds of the Company's stores are located in cities with a population of less than 500,000 inhabitants. Most of its stores are located in the Southern, Central and Volga regions. The Company also operates stores in the North-Western and Urals regions.
As of September 30, 2009 the Company operated an in-house logistics system consisting of 9 distribution centers, employing automated stock replenishment systems and a fleet of 1,362 vehicles.
In accordance with the unaudited IFRS consolidated financial statements for the six months ended June 30, 2009, the Company recorded consolidated revenue of approximately US$2,378 million and consolidated EBITDA of around US$224 million.
Related Shares:
MGNT.L