Events

High-tech assets reorganization

Sistema and the Bank of Moscow establish RTI, a leading Russian developer, producer and supplier of complex technological solutions, radars and microelectronics. The Bank of Moscow contributed RUB 3 bn to the new company's equity, and the Corporation in turn contributed its 97% stake in RTI Systems and RUB 2.88 bn in cash. Later this year, Sistema also sold its 63% stake in SITRONICS to RTI.

Sistema Capital established its first mutual fund

The first mutual investment fund of financial instruments is registered by Sistema Capital, marking the start of its active work in the financial and investment markets.

The first investments in agriculture

Sistema acquired Donskoye OJSC for RUB 476.5 mn and the First Cavalry Army Stud Farm OJSC for RUB 303 mn, with about 39,000 ha of land in the Rostov region.

Join venture of Intourist and Thomas Cook

Intourist and Thomas Cook Group establishmed a joint venture on the basis of Intourist's tour operating and retail business. Thomas Cook acquired a 50.1% stake in the JV for a total stock and cash consideration of $45 mn.

Investments in petrochemical sector

Bashneft and Petrochemical Holding established United Petrochemical Company as a vehicle to assess possible investments in petrochemical sector in Russia. The partners gained 75% and 25% in the joint venture, respectively.

Sale of MGTS

MTS acquired 29.05% stake in MGTS from Sistema for RUB 10.56 bn.

Reorganization of energy assets

Sistema reorganised the ownership of Bashkirenergo through restructuring of OJSC Sistema Invest. As a result, the share of Bashkir fuel and energy companies in the authorised capital of Sistema Invest reaches 49.5%, while Sistema Invest becomes the owner of 50.17% of Bashkirenergo (47.87% of the authorised capital).

Russian government acquired stake in SSTL

The Russian government becomes a shareholder of SSTL via the Federal Agency for State Property Management (Rosimushchestvo), which acquired a 17.14% stake in the Indian telecom operator for INR 26,988 mn (approximately $600 mn).

New strategy and structure

Sistema’s Board of Directors approved new organizational structure and strategy, designed to reshape the Corporation from an operating holding to an investment company. All the investments were divided into two portfolios: core assets and developing assets.