ROSTELECOM PJSC (RKMD)
Rostelecom acquired a leading Internet provider in Yekaterinburg and the Sverdlovsk region
Moscow, Russia - December 17, 2020 - Rostelecom group (MOEX: RTKM, RTKMP; OTCQX: ROSYY), the largest integrated digital service provider in Russia, today announces that it has acquired 100% shares of Sozvezdiye N, parent company of Planeta Group - the leading multi service operator in Yekaterinburg and the Sverdlovsk region. The enterprise value of the asset is equivalent to RUB 1.775 billion. 100% of Planeta Group has been consolidated in several stages by Sberbank Investments LLC in favor of Rostelecom group. The acquisition will strengthen Rostelecom's leading position in Yekaterinburg and the Sverdlovsk region.
The Planeta Group of companies is the leading provider of high-quality communication services, including high-speed Internet access, digital TV, voice services, hosted PBX, VPN and videosurveillance for consumers and businesses across the largest cities of the region. The subscriber base boasts around 100,000 households and over 6,000 business and state organisations. The Company's 2020 revenues are expected to exceed RUB 1 billion, while its OIBDA margin is in line with the Rostelecom Group level indicator.
Alexander Kolesnikov, VP for Affiliates Corporate Management and Assets at Rostelecom commented: "The acquisition of Planeta Group of Companies is one of those targeted M&A deals that help strengthen our position in local broadband and pay-TV markets, where Rostelecom is the key national player. The acquisition presents a great opportunity to introduce Rostelecom's wide range of digital services to Planeta's clients, and both companies will benefit from synergy effects in the near term."
Further information is available at https://www.company.rt.ru/en/ir/news_calendar/.
* * *
Rostelecom is the largest integrated digital services and products provider, operating in all segments of the telecommunications market in Russia. The Company serves millions of households, state and private enterprises across the country.
Rostelecom is Russia's undisputed market leader, providing high-speed Internet access and pay-TV. The total number of broadband users stands at over 13.4 mln users, it has more than 10.7 mln pay-TV customers, over 5.8 mln of which are subscribed to Rostelecom's IPTV services. Tele2 Russia, a Rostelecom subsidiary, is a major player in the mobile market with over 44 mln subscribers and the industry-leading NPS, a customer satisfaction benchmark.
The Group is the leading provider of telecommunications services to government bodies and corporates of all levels.
Rostelecom is a key strategic innovator that provides solutions in the following fields: E-Government, cybersecurity, data-centers and cloud computing, biometry, healthcare, education and housing & utility services.
* * *
Certain statements in this press release are forward-looking statements within the meaning of the U.S. federal securities laws and intended to be covered by the safe harbours created thereby.
Those forward-looking statements include, but are not limited to:
Such forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from those expressed or implied by these forward-looking statements. These risks, uncertainties and other factors include:
Many of these factors are beyond the Company's ability to control or predict. Given these and other uncertainties, readers are cautioned not to place undue reliance on any of the forward-looking statements contained herein or otherwise. The Company does not undertake any obligation to release publicly any revisions to these forward-looking statements (which are made as of the date hereof) to reflect events or circumstances upon the annual report publication or to reflect the occurrence of unanticipated events, except as may be required under applicable laws.
EQS News ID:
End of Announcement
EQS News Service