RusHydro acquires shares of Nizhne-Bureyskaya HPP

July 27, 2015

RusHydro acquires additional shares of Nizhne-Bureyskaya HPP

PJSC RusHydro (ticker symbol: MOEX, LSE: HYDR; OTCQX: RSHYY) informs about a share purchase agreement between JSC Nizhne-Bureyskaya HPP and PJSC RusHydro, qualified as interested party transaction.

According to the agreement JSC Nizhne-Bureyskaya HPP will transfer to RusHydro no more than 17,111,500,000 (seventeen billion one hundred eleven million five hundred thousand) ordinary shares to be placed through a private subscription, issued in accordance with the company's decision on additional issue of shares registered by the Bank of Russia.

RusHydro should purchase and pay for the shares no later than 4 working days prior to the end date of placement determined in the decision on additional issue.

JSC Nizhne-Bureyskaya HPP should submit a transfer order with the number of shares paid by RusHydro to the registrar (Reestr-RN LLC) within 30 days from the date of payment, but no later than 3 days prior to the end date of placement.

The price of the transaction amounts to no more than RUB 17,111,500,000 (RUB 1 per one additional ordinary share), or 1.97 % of RusHydro's book value amounting to RUB 867,614,000,000.

The agreement was approved by the Board of Directors on April 29, 2015.

The transaction is carried out with the purpose of financing CAPEX program of RusHydro.

About RusHydro

RusHydro Group is one of Russia's largest generating companies. RusHydro is the leading producer of renewable energy in Russia with over 70 generating facilities in Russia and abroad. The company also manages a number of R&D, engineering and electricity retail companies. Group's thermal assets are operated by subsidiary - RAO Energy System of East in the Far East of Russia. Total electricity generation capacity of the Group is 38.5 GW, heat capacity - 16.2 thousand GCal/h.

Russian Federation owns 66.8% in RusHydro, the rest is held by other institutional and individual shareholders (over 360,000). The company's stock is traded on Moscow Exchange (MOEX), and included in MSCI EM и MSCI Russia indexes. Company's GDRs in the IOB section of LSE, ADRs - in OTCQX.

For more information:

Investor Relations Department

Tel. +7 (800) 333 8000 ext. 1607, 1319, 1304

[email protected]

DISCLAIMER

The information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of RusHydro. One can identify forward-looking statements by terms such as "expect," "believe," "anticipate," "plan", "aim", "target", "forecast", "project", "should", "estimate," "intend," "will," "could," "may" or "might," the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially from these statements.

We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic and political conditions, our competitive environment, risks associated with operating in Russia and rapid technological and market changes in our industries, as well as many other risks specifically related to RusHydro and its operations.