Rostelecom to acquire one of the largest Internet services providers in Chuvashia
Moscow, Russia – March 4, 2019 – Rostelecom PJSC (MOEX: RTKM, RTKMP; OTCQX: ROSYY), the largest digital service provider in Russia, today announces that its subsidiary Bashinformsvyaz (Bashtel) has signed an agreement to acquire 100% of Infolink Ltd and Svyazstroy-21 Ltd, part of Infolink Group of Companies, one of the largest Internet services providers in the Chuvash Republic.
Infolink has been involved in the telecommunications market in Cheboksary and Hovocheboksarsk for more than 15 years, serving both individual and corporate clients. Internet and TV services (both cable and IPTV) account for 80% of the Company’s revenues. Infolink operates its own fiber-optic communications line, serving more than 25,000 households and 2,000 corporate clients. The Company holds 12% of the Internet market and 10% of the IPTV segment in the region. The provider`s 2018 turnover topped RUB 200 mln.
“The acquisition will not only allow us to strengthen Rostelecom’s positions in the regional Internet and IPTV services markets, it will provide the opportunity to upsell Infolink’s current clients with new digital services. We are also planning to enhance operational efficiency by integrating Infolink’s maintenance services into Rostelecom’s unified maintenance and support centre”.