TCS.L Regulatory News (TCS)

Tinkoff Bank launches financial marketplace Tinkoff.ru

Moscow, Russia - 18 April 2016 TCS Group Holding PLC (TCS LI) (the "Group"), Russia's leading provider of online retail financial services, including Tinkoff Bank and Tinkoff Insurance, today announces the launch of a new universal financial marketplace - Tinkoff.ru by Tinkoff Bank.

The Bank has reviewed its approach to financial servicing by providing access to Tinkoff services to all users. Previously, a customer needed to choose a specific bank, become its client and after that get access to the bank's online services. The new Tinkoff.ru platform enables the customer to access all of its financial services from the main page. All users are granted access to both Tinkoff Bank's products and those of other financial organisations.

Oleg Tinkov, the founder of Tinkoff Bank, said: "Ten years ago, we contributed to the transformation of the Russian banking landscape by launching the first branchless online bank and proving this model to be a success. By now, we have become one of the world's largest independent online only bank by the number of customers. The rollout of the Tinkoff.ru platform is the next logical step in the evolution of the Bank's business model. First, we made our services available to customers of all banks. Second, we gave our partners an opportunity to market their products through our platform, which will provide our users with access to a broader range of attractively priced financial and insurance services. Our team has done a great job. I hope that all of our current and potential customers will fully appreciate it."

The Tinkoff.ru platform provides all of its users with access to the services below

ü Payments for all kinds of services (mobile phone, utility bills, etc.). Most of the time the Bank charges no fees. The clients need to enter the required transaction details (payment reference and amount) first and then identify themselves when they proceed to the payment

ü Card 2 Card transfers

ü Mortgage platform (a comprehensive tool to engage, select and land mortgage customers of the partner banks)

ü Government services (review of pending taxes, fines, international travel restrictions, debt checks and notifications, one click payments, etc.)

ü Subscriptions and notifications (users can sign up for notifications about utility bills, fines and invoices to receive them by e-mail and pay without a fee)

The following improvements were added:

ü Services for SMEs. Users can now access all products required to offer comprehensive cash management to legal entities and sole traders.

ü The Internet Bank app is now adjustable for any screen size: from a desktop monitor to a smartphone.

ü All payments are saved automatically: clients will not have to create templates for similar payments manually.

ü All payment templates, products and services are now available for quick access on the same screen.

A single user account embracing the entire Tinkoff ecosystem (Tinkoff ID) was launched along with Tinkoff.ru platform. For example, if a user signed up for notifications in the Traffic Fines app, they will also be sent to the Tinkoff.ru account.

Alexander Emeshev, Vice President, New Services Development at Tinkoff Bank, said: "We are working towards a financial marketplace, where anyone could find, pick and buy a financial service from a single point of sale - Tinkoff.ru. Our users will be able to select the best deposit available, quickly raise a mortgage loan on favourable terms, get a comprehensive insurance policy without being chained to a single bank (often, a payroll card provider). To this end, we have built a platform from scratch, where our partners can offer, and our customers can buy services. We have moved all services from the internet bank to the main page - an inside-out transformation of the conventional internet bank concept. As we make new partners and launch new products, we will make them available on the platform."

Soon, we are going to offer new services on the platform

ü Investments and brokerage services (customers will be able to open a brokerage account and invest in securities without any currency, exchange or amount limitations)

ü Multi-currency deposits

ü Bonuses and special offers from the bank's partners

ü Cash loans

ü Insurance brokerage

About Tinkoff Bank

Tinkoff Bank is an innovative provider of online financial services operating in Russia through a high-tech branchless platform. The bank was founded in 2006 by a Russian entrepreneur Oleg Tinkov.

The bank's product range includes credit, debit and prepaid cards, deposits, co-branded cards, and agent-based mortgage products. With its special focus on mobile business, the bank offers mobile applications both for its customer base (Mobile Bank) and beyond it (Traffic Fines, MoneyTalk, Card 2 Card instant money transfers).

The bank's five-year strategy has the ambition of becoming a financial supermarket where customers can shop not only for our products, but also for those of our partners.

As at 1 February 2016, the bank was the second largest player in the Russian credit card market, with a market share of 8.4%. As at 1 March 2016, the bank issued over 5.7 m credit cards. The bank is well capitalised: its CBR N1 total capital ratio stood at 11.8% as at 1 February 2016.

The FY 2015 IFRS net income of the parent company, TCS Group Holding PLC, which includes Tinkoff Bank and the insurance company Tinkoff Insurance, amounted to RUB 1.9 bn.

In 2015, the Global Finance magazine named Tinkoff Bank as the Best Internet Retail Bank in Russia. In 2013, Tinkoff Bank was recognised as the Bank of the Year and the most profitable bank in Russia by the Banker magazine, the world's premier banking and finance resource, published by the Financial Times Group.

Tinkoff Bank is a member of the deposit insurance system (the system guarantees each depositor of member banks a payout of RUB 1.4 mln on deposits and current accounts, including interest income).