OAO Open Investments (“Open Investments” or “the Company”), the Moscow-based real estate development, management and investment company, today announces that it begins its Offering Roadshow tomorrow.

The company has set an expected offering price range of US$42.75 to US$52.25 per share.

The Offering will consist of 1,383,358 shares and is expected to raise between US$59.1 million and US$72.3 million less costs of the Offering. The shares offered are existing shares of the Company to facilitate immediate trading of the shares being offered to investors. All net proceeds of the Offering will be entirely for the benefit of the Company.

Upon completion of the Offering and the related capital increase, the Company will have 3,590,000 shares outstanding.  The Company’s free float will be about 38.5%, while Interros Group will hold the other approximate 61.5% of the total amount of Company’s shares.

The Offering includes 125,760 shares that have been granted to the lead manager as a Greenshoe option. A Greenshoe option is a mechanism granted by the Company to the lead manager to encourage a stable aftermarket.

The Offering will comprise an offer of shares in the Russian Federation and an offer of shares and Depositary Shares to institutional investors outside the Russian Federation .  The shares of the Company are listed on the Russian Trading System (B list). The Company intends to use the proceeds of the proposed offering to finance its development strategy, including new construction projects.

ING Investment Banking is acting as the lead manager and sole book-runner for the proposed offering.  OAO AKB Rosbank is acting as senior co-lead manager and Troika Dialog is acting as co-manager.

The international investor roadshow and book-building will commence on November 3^rd . The offering is to be completed by the end of November 2004.

Commenting on today’s announcement, Sergei Ba ? hin, CEO of Open Investments, said:

““We look forward to meeting potential investors during the roadshow. We offer them the first major opportunity to invest in the Russian real-estate sector, which has seen strong growth in recent years. We believe our strategy of developing high quality projects in the office, residential and retail segments will be of great interest to investors both in Russia and internationally” 

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NOTES TO EDITORS

About Open Investments

Open Investments is a Moscow-based real estate development, management and investment company with a business focus on developing investment grade Class A office buildings, luxury residential housing, and commercial real estate (primarily, large retail and entertainment complexes and hotels).   Open Investments was established in September 2002 by the Interros Group, one of Russia ’s largest financial and industrial groups.

Open Investments’ existing real estate portfolio comprises projects in and around Moscow and consists of:

·         Two fully operational properties:

-          Meyerhold Office Centre, and

-          Novotel Moscow Centre Hotel;

·         Three real estate projects at various stages of development:

-          Pavlovo (a deluxe cottage community),

-          Sakharov Business ?entre, and

-          Raikin Centre (a retail and entertainment centre); and

• Several new development projects.

As part of its business strategy, the Company is also considering developing properties in other Russian regions outside of Moscow .