<

PJSC ROSTELECOM (FRA:US778529) ROSTELECOM PJSC: Rostelecom acquired a leading Internet provider in Yekaterinburg and the Sverdlovsk region

Transparency directive : regulatory news

17/12/2020 12:31

ROSTELECOM PJSC (RKMD)
ROSTELECOM PJSC: Rostelecom acquired a leading Internet provider in Yekaterinburg and the Sverdlovsk region

17-Dec-2020 / 14:31 MSK
Dissemination of a Regulatory Announcement that contains inside information according to REGULATION (EU) No 596/2014 (MAR), transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.


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:

  • Assessment of PAO Rostelecom's (the Company) future operating and financial results as well as forecasts of the present value of future cash flows and related factors;
  • The Company's plans to take ownership stakes in other organisations;
  • the Company's anticipated capital expenditures and plans to construct and modernize its network;
  • the Company's expectations as to the growth in demand for its services, plans relating to the expansion of the range of its services and their pricing;
  • the Company's plans with respect to improving its corporate governance practices;
  • the Company's expectations as to its position in the telecommunications market and forecasts on the development of the market segments within which the Company operates;
  • economic outlook and industry trends;
  • the Company's expectations as to the regulation of the Russian telecommunications industry and assessment of impact of regulatory initiatives on the Company's activity;
  • other statements regarding matters that are not historical facts.

 

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:

  • risks relating to changes in political, economic and social conditions in Russia as well as changes in global economic conditions;
  • risks relating to Russian legislation, regulation and taxation, including laws, regulations, decrees and decisions governing the Russian telecommunications industry, securities industry as well as currency and exchange controls relating to Russian entities and their official interpretation by regulatory bodies;
  • risks relating to the Company, including the achievement of the anticipated results, levels of profitability and growth, ability to create and meet demand for the Company's services including their promotions, and the ability of the Company to remain competitive in a liberalized telecommunications market;
  • technological risks associated with the functioning and development of the telecommunications infrastructure, technological innovations as well as the convergence of technologies;
  • other risks and uncertainties. For a more detailed discussion of these and other factors, see the Company's Annual Report and the Company's other public filings.

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.

 



ISIN: US7785291078
Category Code: ACQ
TIDM: RKMD
LEI Code: 2534001D752JPNM0H170
Sequence No.: 89891
EQS News ID: 1155989

 
End of Announcement EQS News Service

fncls.ssp?fn=show_t_gif&application_id=1155989&application_name=news&site_id=symex


Other stories

28/03/2024 20:19
28/03/2024 16:58
28/03/2024 18:06
28/03/2024 23:45
28/03/2024 16:56
28/03/2024 23:56
28/03/2024 20:53
28/03/2024 22:02
28/03/2024 17:12
28/03/2024 17:38
28/03/2024 21:21
28/03/2024 21:01
28/03/2024 22:21
28/03/2024 17:48
28/03/2024 22:10
28/03/2024 23:13
28/03/2024 09:59
28/03/2024 17:05
27/03/2024 15:52
27/03/2024 19:23
28/03/2024 09:00
28/03/2024 21:30
28/03/2024 21:31
28/03/2024 19:00
28/03/2024 17:25
28/03/2024 13:03
28/03/2024 22:16
29/03/2024 00:03
28/03/2024 19:55
28/03/2024 17:34
27/03/2024 15:13
27/03/2024 21:46
28/03/2024 17:55
27/03/2024 13:40
28/03/2024 13:25
28/03/2024 17:47
28/03/2024 11:40
28/03/2024 19:18