Moscow, Russian Federation – Mobile TeleSystems OJSC (“MTS” or "the Company" – NYSE: MBT), the leading telecommunications provider in Russia and the CIS, announces that MGTS-Nedvizhimost CJSC, the wholly owned subsidiary of Moscow City Telephone Network OJSC (MGTS), a subsidiary of MTS, has completed the sale of its remaining 49% stake in Rent-Nedvizhimost CJSC to Business-Nedvizhimost CJSC for a price of RUB 4.17 billion.
Business-Nedvizhimost CJSC is a subsidiary of Sistema JSFC (LSE: SSA), the parent company of MTS. Previously, in February 2015, MGTS-Nedvizhimost CJSC sold its 51% stake in Rent-Nedvizhimost CJSC to Business-Nedvizhimost CJSC for a price of RUB 4.34 billion.
The transaction is in line with MGTS`s stated goals to restructure non-core assets. Key Rent-Nedvizhimost CJSC`s assets include buildings housing automatic telephone exchanges, which have largely become redundant due to the modernization of MGTS’s telecommunication infrastructure.
An independent appraisal was conducted by Cushman & Wakefield, the leading global real estate firm. The transaction was approved by the Federal Antimonopoly Service (FAS) and has received all necessary internal corporate approvals.
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For further information, please contact in Moscow:
Joshua B. Tulgan
Director, Department of Corporate Finance and Investor Relations
Mobile TeleSystems OJSC
Tel: +7 495 223 2025