X5 Retail Regulatory News (FIVE)

18 May 2006 17:14

Pyaterochka Holding N.V.18 May 2006 NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN, INTO OR FROM THE UNITED STATES, AUSTRALIA, CANADA OR JAPAN 18 May 2006 Pyaterochka Holding N.V. Completion of Merger of Pyaterochka and Perekrestok Pyaterochka Holding N.V. ("Pyaterochka") is pleased to announce the completionof its merger with Perekrestok Holdings Limited following fulfilment of all therelevant conditions to the transaction, including receipt of Pyaterochkashareholder approval. As a result of this transaction, Alfa Group, one of thelargest and most successful financial investors in Russia and a long-standinginvestor in the Russian food retail sector, together with certain members ofPerekrestok management, will control 54.0% of the Enlarged Group. AndreiRogachev and Alexander Girda, the founders of Pyaterochka, will retain acombined stake of 21.2% in the Enlarged Group. Pyaterochka has also today entered into a facility agreement with a number ofleading international banks to finance the US$300 million cash element of theconsideration payable for the acquisition of Perekrestok, to refinance theexisting debt of Perekrestok and to provide for a capex facility to finance thefuture development of the Enlarged Group. Commenting on the completion of the merger, David Noble, Chairman ofPyaterochka's Board of Supervisory Directors said: "We are delighted to announce the completion of the merger between these twohighly complementary businesses. Together we will use our new position as thelargest food retailer in Russia to deliver enhanced value to all our customersand shareholders". Copies of the prospectus in relation to this transaction have been lodged withthe document viewing facility at the UKLA. - Ends - Enquiries to: Pyaterochka Holding N.V. Citigate Dewe RogersonTanja Djurdjevic David Westover/Marina Zakharova/Lucie HollowayInvestor Relations +44 (0)20 7638 9571Mobile +7 495 724 6414Email ir@e5.ru This information is provided by RNS The company news service from the London Stock Exchange