2 Oct 2015 13:20
Sistema acquires 25.02% stake in Medsi Group
Moscow, Russia - 2 October 2015 - Sistema JSFC ("Sistema") (LSE: SSA), a publicly-traded diversified holding company in Russia and the CIS, announces the acquisition of a 25.02% stake in "Medsi group" JSC ("Medsi" or "the Company") from the State Unitary Enterprise Medical Centre under the Moscow Mayor and Government's Department of Business Affairs ("the SUE") for a consideration of RUB 6.116 billion, with 50% to be paid over the course of a year.
Increasing Sistema's stake will enable Medsi to expand its private clinic network, actively build new medical facilities, and improve management efficiency. It will also support Medsi's further growth by bringing in strategic and financial investors as shareholders.
"Private healthcare has been a high-growth market in Russia for many years, and has huge potential for further growth and consolidation. We are firm believers in the potential of this market, and continue to pursue our growth strategy for the largest private-sector player, Medsi Group," said Sistema CEO Mikhail Shamolin.
The SUE received 25.05% of Medsi's shares in 2012 as part of a merger into Medsi of the medical assets of Sistema and the SUE.
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For further information, please visit www.sistema.com or contact:
Investor Relations Yulia Katukova Tel: +7 (495) 692 22 88 katukova@sistema.ru | Public Relations Sergey Kopytov Tel.: +7 (495) 228 15 32 kopytov@sistema.ru |
Sistema is a publicly-traded diversified holding company in Russia and the CIS, which invests in and is a major shareholder of companies serving over 100 million customers in the sectors of telecommunications, high technology, radars and aerospace, banking, retail, mass-media, tourism and healthcare services. Founded in 1993, the Company reported revenues of RUB 164.0 billion for the second quarter of 2015, and total assets of RUB 1,175.7 billion as at June 30, 2015. Sistema's global depository receipts are listed under the symbol "SSA" on the London Stock Exchange. Sistema's ordinary shares are listed under the symbol "AFKS" on the Moscow Exchange. Website: www.sistema.com
The Company is not an investment company, and is not and will not be registered as such, under the U.S. Investment Company Act of 1940.
Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of Sistema. You can identify forward looking statements by terms such as "expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may" or "might" the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. In addition, there is no assurance that the new contracts entered into by our subsidiaries referenced above will be completed on the terms contained therein or at all. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industries, as well as many other risks specifically related to Sistema and its operations.