SISTEMA ACQUIRES FURTHER 50.5% STAKE
Sistema (LSE:SSA), the largest public diversified corporation in Russia and the
CIS, which manages fast growing companies operating in the consumer services
sector, today announced that it has increased its stake in Dalcombank, a
commercial bank based in the Far East of Russia, from 48.16% to 98.65%.
In November 2007, Sistema announced a public offer to acquire the outstanding
shares for RUB 7.4 per share. The offer expired on January 18, 2008. According
to the terms of the offer, Sistema acquired 50.49% additional shares in
Dalcombank for a cash consideration of approximately RUB 2.64 billion (US$
107.54 million) on January 31, 2008.
The acquisition of shares in Dalcombank is in line with the development of
Sistema's banking group, which presently comprises Moscow Bank for
Reconstruction and Development (MBRD) and East-West United Bank (Luxembourg).
Alexander Goncharuk, President and Chief Executive Officer, commented: 'We have
acquired Dalcombank's shares in a multi-stage deal and are now its major
shareholder. The banking business is one of the key 'points of growth' for
Sistema. We are now present and operating in the Far East which we consider as a
strategically important region.'
For further information, please visit www.sistema.com or contact:
Sistema Investor Relations Shared Value Limited
Laila Simanova Larisa Kogut-Millings
Tel: +7 495 730 66 00 Tel: +44 (0) 20 7321 5037
Head of International Press Office
Tel: +7 495 730 71 88
Sistema is the largest public diversified corporation in Russia and the CIS,
which manages fast growing companies operating in the consumer services sector
and has over 80 million customers. Sistema develops and manages market-leading
businesses in selected service-based industries, including telecommunications,
technology, banking, real estate, retail and media. Founded in 1993, the company
reported revenues of US$ 9.6 billion for the first nine months of 2007, and
total assets of US$ 24.2 billion as at September 30, 2007. Sistema's shares are
listed under the symbol 'SSA' on the London Stock Exchange, under the symbol
'AFKS' on the Russian Trading System (RTS) and the Moscow Interbank Currency
Exchange (MICEX), and under the symbol 'SIST' on the Moscow Stock Exchange
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.
Information contained in this announcement does not constitute a public offer or
an advertisement of securities in Russia, is not an offer, or an invitation to
make offers, to purchase any securities in Russia. The reverse convertible
certificates have not been and will not be registered in Russia and are not
intended for 'placement' or 'public circulation' in Russia.