25th Mar 2008 07:16
PIK Group25 March 2008 PIK GROUP ("The Group" or "PIK") PIK TO EXPAND OUTSIDE RUSSIA AND EXTEND REACH INTO ST PETERSBURG London 25 March) - PIK (LSE: PIK), a leading Russian nationwide residentialproperty developer, today announces its intention to expand outside Russia forthe first time by entering the Ukrainian market. PIK also intends to enter theresidential market in the Russian city of St Petersburg. PIK has been expanding its presence in the regions since 2006, entering citiessuch as Kaluga, Kaliningrad, Omsk, Perm, Novorossiysk, Rostov and Yaroslavl,Taganrog and Nizhny Novgorod. Over the next few years, management intends toexpand PIK's reach further, through land purchases and by acting as aconsolidator of Russia's fragmented real estate development industry. PIK has recently established new business units, PIK Ukraine and PIK Northwestto facilitate the Group's expansion into these important new territories. Theunits will be responsible for identifying land for purchase, zoning, andconstruction. PIK will make further announcements regarding these territories indue course. Enquiries: PIK Group Tel: +7 495 505 97 33 ext. 1358 Viktor Szalkay Investor Relations Citigate Dewe Rogerson Tel: +44 20 7638 9571 Tom Baldock Lindsay Noton Some of the information in this press release may contain projections or otherforward-looking statements regarding future events or the future financialperformance of PIK. 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. Thesestatements are only predictions and actual events or results may differmaterially. PIK does not intend to or undertake any obligation to update thesestatements to reflect events and circumstances occurring after the date hereofor to reflect the occurrence of unanticipated events. Many factors could causethe actual results to differ materially from those contained in PIK'sprojections or forward-looking statements, including, among others, generaleconomic conditions, PIK's competitive environment, risks associated withoperating in Russia, rapid technological and market change, and other factorsspecifically related to PIK and its operations. -END- NOTES TO EDITORS PIK Group Overview Founded in 1994, PIK is one of the leading vertically integrated residentialdevelopers in Russia with over 14,000 employees across the country. Its businessactivities are concentrated in Moscow and the Moscow region with an increasingfootprint in many of Russia's other regions. Its principal activity is thedevelopment, construction and sale of residential properties in large scaledevelopments targeted primarily at the middle income housing market in Russia. PIK's core activities include: • development of residential real estate projects and sales of completed units, including servicing and maintenance of residential real estate developed by PIK and other developers; • production and assembly of concrete panel housing in Moscow as a subcontractor for the Moscow city government; and • production and sale of raw materials and construction materials. Since 2004, PIK has completed over 4 million square meters of residentialhousing, which is equivalent to approximately 58,000 residential units acrossRussia. June 1, 2007, the Group completed successful listings on the London StockExchange, the RTS and MICEX exchanges in Russia. PIK Group's website address is: www.pik.ru Group Financial Summary Revenue for 2006 rose by 90% and equalled US$ 1,546 million, while EBITDA for2006 amounted to US$ 486 million. Net profit was US$ 298 million in 2006compared to US$ 20 million in 2005. According to CBRE, an independent appraiser, the combined market value of theGroup's properties valued as of January 1, 2007 was $8.8 billion. Some of the information in this press release may contain projections or otherforward-looking statements regarding future events or the future financialperformance of PIK. 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. Thesestatements are only predictions and actual events or results may differmaterially. PIK does not intend to or undertake any obligation to update thesestatements to reflect events and circumstances occurring after the date hereofor to reflect the occurrence of unanticipated events. Many factors could causethe actual results to differ materially from those contained in PIK'sprojections or forward-looking statements, including, among others, generaleconomic conditions, PIK's competitive environment, risks associated withoperating in Russia, rapid technological and market change, and other factorsspecifically related to PIK and its operations. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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