3rd Feb 2011 15:00
SISTEMA ESTABLISHES OJSC RTI WITH INVESTMENT
FROM THE BANK OF MOSCOW
Moscow, Russia - February 3, 2011 - Sistema (the "Group") (LSE:SSA), the largest diversified public financial corporation in Russia and the CIS, which invests in, and is a major shareholder of, companies operating in different industries, today announced the creation of OJSC RTI with an investment from the Bank of Moscow.
Sistema will contribute its 97% stake in OJSC Concern RTI Systems, as well as RUB 2.88 billion (approximately US$ 97 million) in cash to the new entity's charter capital, while the Bank of Moscow will make a RUB 3 billion (approximately US$ 100 million) cash contribution. As a result, the Bank of Moscow will receive a 15.4% stake in RTI, while Sistema will control 84.6% of the new entity.
Sergey Boyev, Vice President of Sistema and Chairman of Concern RTI Systems, commented: "The Bank of Moscow joins Sistema as a partner in developing RTI Systems, one of Sistema's most important assets. With the Bank of Moscow as an investor, we aim to implement RTI Systems' investment program, particularly with regards to large-scale state projects, including the development of geomatics and GLONASS systems, as well as to improve financial performance and raise the investment profile of OJSC RTI."
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For further information, please visit www.sistema.com or contact:
| Investor Relations | Public Relations | ||||
| Evgeniy Chuikov | Vsevolod Sementsov | ||||
| Tel.: +7 (495) 692 1100 | Tel: +7 (495) 730 1705 | ||||
Sistema is the largest diversified public financial corporation in Russia and the CIS, which invests in and is a major shareholder of companies serving over 100 million customers in the sectors of telecommunications, high technology, oil and energy, radars and aerospace, banking, retail, mass-media, tourism and healthcare services. Founded in 1993, the company reported revenues of US$ 7.3 billion for the third quarter of 2010, and total assets of US$ 42.0 billion as at September 30, 2010. Sistema's global depository receipts are listed under the symbol "SSA" on the London Stock Exchange. Sistema's ordinary shares are listed under the symbol "AFKS" on the RTS Stock Exchange, under the symbol "AFKC" on the MICEX Stock Exchange, and under the symbol "SIST" on the Moscow Stock Exchange (MSE).
Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of Sistema. You can identify forward looking statements by terms such as "expect," "believe," "anticipate," "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. In addition, there is no assurance that the new contracts entered into by our subsidiaries referenced above will be completed on the terms contained therein or at all. 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 conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industries, as well as many other risks specifically related to Sistema and its operations.
This document does not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any shares or other securities of JSFC Sistema and/or any of its subsidiaries and affiliated companies, nor shall any part of it nor the fact of its distribution form part of or be relied on in connection with any contract or investment decision relating thereto, nor does it constitute a recommendation regarding the shares or securities of JSFC Sistema and/or any of its subsidiaries and affiliated companies.
Copyright Business Wire 2011
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