20 Jun 2007 12:44
PIK Group20 June 2007 THE INFORMATION CONTAINED IN THIS ANNOUNCEMENT IS RESTRICTED AND NOT FOR PUBLICATION, DISTRIBUTION OR RELEASE, DIRECTLY OR INDIRECTLY IN THE UNITED STATES OF AMERICA PIK GROUP PIK GROUP ACQUIRES NEW DEVELOPMENT SITE IN PERM (LONDON, 20 June 2007) - PIK Group (LSE: PIK), one of Russia's leadingresidential real estate developers, today announced the successful acquisitionof an undeveloped land plot in one of Russia's regions, in the city of Perm,where the Group already operates over a year. The land plot was acquired through a municipal tender offer at a bid price ofRUR 315.9 million (approximately US$ 12.2 million). The size of the land isapproximately 6.4 hectares on which PIK plans to develop an entire residentialcommunity with underlying school and kindergartens. The area is for developingapproximately 109,000 square meters of housing. Perm is the capital city of the Ural province, also called Perm. Situated 800miles east of Moscow on the River Kama, it is a major river port and anadministrative, industrial, scientific and cultural centre for the region. It isthe 6th largest city in Russia and has a population of over 1 million. Commenting on today's announcement, Kirill Pisarev, CEO of PIK said: "This transaction is in line with our strategy, which envisages continuedregional diversification into Russia's regions. We see strong growth potentialin residential housing in Perm. " - END - Enquiries:PIK Group Tel: +7 (495) 291-67-54Viktor Szalkay Citigate Dewe Rogerson Tel: +44 20 7638 9571David WestoverTom BaldockMarina Zakharova NOTES TO EDITORS PIK Group Overview Founded in 1994, PIK is one of the leading vertically integrated residentialdevelopers in Russia with over 14,000 employees across the country. Its businessactivities are concentrated in Moscow and the Moscow region with an increasingfootprint in many of Russia's other regions. Its principal activity is thedevelopment, construction and sale of residential properties in large scaledevelopments targeted primarily at the middle income housing market in Russia. PIK's core activities include: • development of residential real estate projects and sales of completed units, including servicing and maintenance of residential real estate developed by PIK and other developers; • production and assembly of concrete panel housing in Moscow as a subcontractor for the Moscow city government; and • production and sale of raw materials and construction materials. The last three years between 2004 and 2006, PIK has completed over 2.5 millionsquare meters of residential housing and over 36,000 residential units inRussia, including over 1.2 million square meters and over 17,000 residentialunits in 2006 alone. In early June 2007, the Group completed successful listings on the London StockExchange, the RTS and MICEX exchanges in Russia. Group Financial Summary Revenue for 2006 rose by 90% and equalled US$ 1,546 million, while EBITDA for2006 amounted to US$ 486 million. Net profit was US$ 298 million in 2006compared to US$ 20 million in 2005. This information is provided by RNS The company news service from the London Stock Exchange