Services conglomerate Sistema said its mobile unit MTS would acquire a one-quarter stake in Sistema's MTS-Bank for up to 5 billion rubles ($162.5 million).
Under the terms of an indicative offer signed Thursday, MTS would acquire up to 25.095 percent of shares in MTS Bank through an additional share issue by MTS Bank, Sistema said in a statement.
"The acquisition of a stake in MTS Bank by MTS will unlock synergies between financial and mobile services," said Mikhail Shamolin, the chief executive officer of Sistema.
The proceeds from the transaction will be added to MTS Bank's charter capital. As a result of the deal, Sistema's direct stake in MTS Bank will be 65.3 percent.
(Reuters)
Related articles:
A Message from The Moscow Times:
Dear readers,
We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."
These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.
We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.
Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.
By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.
Remind me later.