Rostelecom announces 100% consolidation of RTC-IT
Moscow, Russia – November 11, 2021 – Rostelecom PJSC (MOEX - RTS: RTKM, RTKMP; OTCQX: ROSYY), Russia’s largest integrated digital company, today announces the consolidation of a 100% stake in Rostelecom Information Technologies (RTC-IT) via the acquisition of a 49.9% stake from minority shareholders. RTC-IT is the flagship asset of the Data Storage Center LLC (RTC Data Centers) which comprises Rostelecom’s data centers and cloud assets. The deal value was RUB 4.5 billion.
Rostelecom Information Technologies (RTC-IT) provides a wide range of customised services to business and state clients, and operates under the ‘IT As A Service’ model. The 2021 revenue is expected to reach RUB 12 billion with OIBDA of around 30% and net debt of 1.4 Net Debt/OIBDA.
“We are pleased to have completed the acquisition of the remaining minority stake in RTC-IT at a substantially lower valuation than the market price of similar publicly listed data center and cloud services providers”.
The consolidation of 100% of RTC-IT as one of the key assets in the Rostelecom Data Centers portfolio, will contribute to greater operational and corporate flexibility, while Rostelecom’s data center and cloud business shapes up for an IPO”.