MOSCOW--(BUSINESS WIRE)--
Sistema JSFC ("Sistema", the "Group" or the "Company") (LSE: SSA), the largest publicly-traded diversified holding company in Russia and the CIS, today announces that it has signed two binding Sale Purchase Agreements (“Agreements”) with Bradinor Holdings Limited (“Bradinor”) and Cromeld Management Limited (“Cromeld”) for the sale by the Company of 25% and 24% stakes in OJSC Oil and Gas Company RussNeft (“RussNeft”), respectively, for a total cash consideration of US$ 1.2 billion. The beneficial owners of Bradinor and Cromeld are Mikail Shishkhanov and Felix Dlin, respectively. The completion of the transaction is expected in 3Q 2013 and is subject to satisfaction of all conditions precedent.
In addition, Sistema has obtained a call option to possibly acquire stakes in eight exploration and production companies which currently form RussNeft’s Urals Group of companies. The decision whether to exercise the call option will be subject to operational considerations, due diligence and corporate and regulatory approvals. The call option is exercisable within three months of the signing of the Agreements.
Mikhail Shamolin, President and CEO of Sistema commented:
“Today’s
announcement is a milestone achievement for Sistema and its
shareholders. In just over three years since the acquisition of our
RussNeft stake, Sistema has achieved an impressive return on its
investment. Under the diligent leadership of all stakeholders, RussNeft
has transformed itself into one of the leading and fastest growing
Russian upstream companies delivering excellent operational and
financial results. This transaction is another demonstration of
Sistema’s unique track record of securing transformational deals,
applying our value added strategic insight and achieving attractive
monetization opportunities.”
First Quarter 2013 Conference Call
Sistema plans to announce its 1Q 2013 Financial Results on June 21, 2013. The management will host an analyst conference call to discuss the results on June 21 at 9 am (London time) / 10 am (CET) / 12 pm (Moscow Time). To participate please use details below.
The dial-in numbers for the conference call are:
UK/ International: +44 208 515 2319
US: +1 480 629 9645
The conference call title: “Sistema First Quarter 2013 Financial Results”.
A replay of the conference call will be available on the Company’s website www.sistema.com for 7 days after the event.
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For further information, please visit www.sistema.com or contact: |
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Investor Relations Evgeniy Chuikov Tel.: +7 (495) 692 1100 |
Public Relations Yulia Belous Tel.:+7 (495) 730 1705 |
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Sistema is the largest publicly-traded diversified holding company 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$ 34.2 billion for the full year of 2012, and total assets of US$ 44.7 billion as at December 31, 2012. 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 MICEX-RTS Stock Exchange. Sistema was ranked number 315 in the 2011 edition of the Fortune Global 500 list. Website: www.sistema.com
The Company is not an investment company, and is not and will not be
registered as such, under the U.S. Investment Company Act of 1940.
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. 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.