23rd Apr 2008 14:58
OJSC Magnit23 April 2008 NOT FOR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO AUSTRALIA, CANADA, JAPAN, THE RUSSIAN FEDERATION OR THE UNITED STATES This press release is not a prospectus but an advertisement. Investors should not subscribe for any transferable securities referred to in this announcementexcept on the basis of information in the international prospectus published byOJSC Magnit in connection with an offering of its ordinary shares ("Shares") andglobal depositary receipts ("GDRs") and the admission of GDRs representing OJSC Magnit's shares to the Official List of the UK Financial Services Authority. Copies of the Russian statutory prospectus may be obtained at the offices of OJSC Magnit. Press-release For immediate releaseKrasnodar April 23, 2008 Exercise of over-allotment option In connection with the global offering of 9,719,638 ordinary shares in the formof shares and GDRs in OJSC Magnit (the "Company"), Russia's leading retail chainin terms of number of stores, the selling shareholder, Lavreno Limited (the "Selling Shareholder"), granted Deutsche Bank and Morgan Stanley, as Joint GlobalCoordinators, Joint Bookrunners and Joint Lead Managers, an over-allotmentoption to purchase up to an additional 2,532,930 GDRs (representing 506,586ordinary shares) at the offer price to cover over-allotments in the globaloffering. Five GDRs represent an interest in one ordinary share. The Joint Global Coordinators have notified the Selling Shareholder that theyhave exercised the over-allotment option in full. Conditional dealings in the GDRs commenced on the London Stock Exchange on April16, 2008, and admission of the GDRs to the Official List of the UK ListingAuthority occurred on April 22, 2008. For further information, please contact:Oleg Goncharov 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) 277-45-62Dina Chistyak 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) 277-45-62Company description: Based in Krasnodar, in the Southern region of Russia, Open Joint Stock Company "Magnit" is a holding company for a group of entities that operate in the retailtrade under the "Magnit" name. The chain of "Magnit" stores is one of theleading operators in the Russian food retail market. As of December 31, 2007 thechain consisted of 2,194 convenience stores and 3 hypermarkets in more than 700locations in the Russian Federation. Approximately two-thirds of the Company's stores are located in cities with apopulation of less than 500 thousand. Most of its stores are located within theSouthern, Central and Volga regions. The Company also operates stores in theNorth-Western and Urals regions. As of December 31, 2007 the Company operates an in-house logistics systemconsisting of 8 distribution centers, employing automated stock replenishmentsystems and a fleet of 802 vehicles. In accordance with the audited IFRS consolidated financial statements, for 2007,the Company posted consolidated revenues of approximately US$ 3,677 million anda consolidated EBITDA of around US$ 219 million. -------------------------------------------------------------------------------- Some of the information in this press release may contain projections or otherforward-looking statements regarding future events or the future financialperformance of the Company. You can identify forward looking statements by termssuch as "expect," "believe," "anticipate," "estimate," "intend," "will,""could," "may" or "might" the negative of such terms or other similarexpressions. The Company wishes to caution you that these statements are onlypredictions and that actual events or results may differ materially. The Companydoes not intend to update these statements to reflect events and circumstancesoccurring after the date hereof or to reflect the occurrence of unanticipatedevents. Many factors could cause the actual results to differ materially fromthose contained in projections or forward-looking statements of the Company,including, among others, general economic conditions, the competitiveenvironment, risks associated with operating in Russia, rapid technological andmarket change in the industries the Company operates in, as well as many otherrisks specifically related to the Company and its operations. Neither this press release nor any copy of it may be taken or transmitted,directly or indirectly, into the Australia, Canada, Japan, the RussianFederation or United States. This press release does not constitute or form partof any offer or invitation to sell, or any solicitation of any offer to purchasenor shall it (or any part of it) or the fact of its distribution, form the basisof, or be relied on in connection with, any contract therefor. The offer and thedistribution of this press release and other information in connection with thelisting and offer in certain jurisdictions may be restricted by law and personsinto whose possession any document or other information referred to herein comesshould inform themselves about and observe any such restriction. Any failure tocomply with these restrictions may constitute a violation of the securities lawsof any such jurisdiction. This press release is not an offer for sale of any securities in the UnitedStates. Securities may not be offered or sold in the United States absentregistration or an exemption from registration under the U.S. Securities Act of1933. The Company has not registered and does not intend to register any portionof any offering in the United States or to conduct a public offering of anysecurities in the United States. This communication is directed only at (i) persons who are outside the UnitedKingdom or (ii) persons who have professional experience in matters relating toinvestments falling within Article 19(1) of the Financial Services and MarketsAct 2000 (Financial Promotion) Order 2005 (the "Order") and (iii) high net worthentities, and other persons to whom it may lawfully be communicated, fallingwithin Article 49(2) of the Order (all such persons together being referred toas "relevant persons"). Any investment activity to which this communicationrelates will only be available to and will only be engaged with, relevantpersons. Any person who is not a relevant person should not act or rely on thisdocument or any of its contents. Any offer of securities to the public that may be deemed to be made pursuant tothis communication in any EEA Member State that has implemented Directive 2003/71/EC (together with any applicable implementing measures in any Member State,the "Prospectus Directive") is only addressed to qualified investors in thatMember State within the meaning of the Prospectus Directive. Information contained in this press release does not constitute an advertisementof the GDRs in Russia and must not be passed on to third parties or otherwise bemade publicly available in Russia. The GDRs have not been and will not beregistered in Russia and are not intended for "placement" or "publiccirculation" in Russia.Shares in the Company and the GDRs have not been and will not be registeredunder the applicable securities laws of Australia, Canada or Japan and, subjectto certain exceptions, may not be offered or sold within Australia, Canada orJapan or to, or for the account or benefit of, citizens or residents ofAustralia, Canada or Japan except under circumstances which will result in thefull compliance with the applicable laws and regulations promulgated by therelevant regulatory authorities in effect at the relevant time. Deutsche Bank AG and Morgan Stanley & Co. International plc are actingexclusively for the Company and the Selling Shareholder and no one else inconnection with the global offering. They will not regard any other person(whether or not a recipient of this announcement) as their respective clientsand will not be responsible to anyone other than Company or the SellingShareholder for providing the protections afforded to their respective clientsnor for giving advice in relation to the global offering, the contents of thisannouncement or any transaction or arrangement referred to herein. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
MGNT.L