Rostelecom acquires Sky Link Group
Sky Link currently owns licences in 76 Russian regions, covering over 90% of the total Russian population, which includes
Alexander Provotorov, President of Rostelecom, commented: “The strategic acquisition of Sky Link enables us to strengthen our competitive position and increase the value of our Company. This was the last asset available in the market that could offer such extensive network coverage and unique frequencies. Sky Link is also the fourth operator to have obtained the remaining 3G frequencies in
As a result of the transaction, Svyazinvest will increase its stake in Rostelecom to 45.3%, while Mobitel will own 4.64% of Rostelecom ordinary shares and 12.6% of Rostelecom preference shares. These shares could be used by the Company during strategic M&A deals, or they may be cancelled.
Ernst & Young LLC conducted an independent valuation of Sky Link shares. Avers Group LLC conducted an independent valuation of Rostelecom ordinary shares.Further stages of the reorganisation process, which forms part of Svyazinvest’s merger with Rostelecom, can be found in Rostelecom’s reorganisation plan, which is available on the Company’s corporate website at http://www.rostelecom.ru/ir/reorganization/.
* Rostelecom owns a 99.9% stake in Mobitel
** The 1.91% stake represents 56,287,425 ordinary registered uncertified shares
***MC-Direct CJSC, a wholly-owned subsidiary of Sky Link, owns the remaining 50% stake in Sky Link