3 June 2021, St Petersbrug - Sistema PJSFC ("Sistema" or "the Corporation) (LSE: SSA, MOEX: AFKS) announces that its pharmaceuticals subsidiary Binnopharm Group, the Russian Direct Investment Fund (RDIF, Russia's sovereign fund) and Mumtalakat Holding Company (Mumtalakat, a sovereign wealth fund of the Kingdom of Bahrain) have signed a memorandum of understanding to establish a new production facility for the Russian Sputnik V coronavirus vaccine in the Kingdom of Bahrain. The MoU was signed on the sidelines of the St Petersburg International Economic Forum.
Bahrain authorised the emergency use of Sputnik V in February 2021. The vaccine produced at the new facility will be supplied to Middle Eastern and North African markets.
Dmitry Zubov, chairman of the board of directors of Binnopharm Group, said,
"Last summer, Binnopharm Group’s pharmaceutical plant in Zelenograd was the first in Russia to launch production of the COVID-19 vaccine Sputnik V. Over the last year we perfected the technology down to the detail and now have a good understanding of how to scale up production of the vaccine. We are happy to share our know-how with other countries to assist them in developing their own production of Sputnik V at scale."
Kirill Dmitriev, CEO of the Russian Direct Investment Find (RDIF), said,
"Our collaboration with Mumtalakat goes back a long way and has resulted in a successful co-investment program as well as a fruitful partnership between our organisations. We are delighted to extend our cooperation to establish a production facility in Bahrain to produce Sputnik V - the world’s first registered coronavirus vaccine. Sputnik V was included in Bahrain’s national vaccine portfolio in February and has been used successfully to protect the population against COVID. Local production will increase our international production capabilities and help other countries of the region to prevent the spread of COVID-19."
HE Khalid Al Rumaihi, CEO of Mumtalakat, commented,
"Our partnership with both RDIF and Binnopharm Group will enable the Kingdom of Bahrain to continue to be at the forefront of fighting this pandemic whilst working to further enhance the region’s healthcare sector through the establishment of this facility. As the sovereign wealth fund of Bahrain we continue to look into partnerships and ventures that will add value to our portfolio as well as bring long-term sustainable solutions to the Kingdom and wider region."
Binnopharm Group is a full-cycle Russian pharmaceutical holding company that combines five production sites located in different regions of Russia: JSC Alium (the Serpukhov district of the Moscow region), JSC Binnopharm (2 sites: Zelenograd and Krasnogorsk), OJSC Sintez (Kurgan) and CJSC Biocom (Stavropol). Binnopharm Group companies produce a wide range of drugs of various therapeutic groups and have the largest portfolio of drugs among Russian manufacturers (more than 450 marketing authorisations, including the COVID-19 vaccine Sputnik V). Binnopharm Group is а subsidiary of Sistema PJSFC, a publicly traded Russian investment company.
Sistema PJSFC is a publicly traded Russian investment company with a diversified portfolio of assets serving over 150 million customers in the sectors of telecommunications, high technology, banking, retail, e-commerce, timber processing, agriculture, real estate, hospitality and healthcare. The company was founded in 1993. Its revenue in 2020 reached RUB 691.6bn, and its total assets as of 31 December 2020 equalled RUB 1.4tn. Sistema's global depositary receipts are listed under the symbol “SSA” on the London Stock Exchange. Sistema’s ordinary shares are listed under the “AFKS” ticker on the Moscow Stock Exchange. Website: www.sistema.ru
Russian Direct Investment Fund (RDIF) was established in 2011 to make equity co-investments, primarily in Russia, alongside reputable international financial and strategic investors. RDIF acts as a catalyst for direct investment in the Russian economy. By now, RDIF has successfully implemented more than 80 projects with foreign partners totalling more than RUB 2tn and covering 95% of Russian regions. RDIF portfolio companies employ more than 800,000 people and generate revenues which equal 6% of Russia’s GDP. RDIF has established joint strategic partnerships with leading international co-investors from more than 18 countries that total more than USD 40bn. Further information can be found at www.rdif.ru
Mumtalakat is a sovereign wealth fund of the Kingdom of Bahrain. With a mandate to grow the wealth of Bahrain through long-term investments based on sound financial, strategic and governance principles, Mumtalakat holds stakes in over 60 commercial enterprises with a portfolio spanning a variety of sectors, including industrial manufacturing, financial services, telecommunications, real estate, logistics, consumer products, healthcare and education. Further information can be found at www.mumtalakat.bh
For further information, please visit https://sistema.com/assets/binnopharm-group or contact:
Phone: +7 (965) 144 11 11