AFK Sistema ups stake in Sistema Mass Media to 87.5%
MOSCOW. Feb 27 (Interfax) - AFK Sistema has increased its stake in Sistema Mass Media, which manages Sistema's assets, to 87.5% from 75% in exchange for stake in CJSC Russian World Studios (RWS), Sistema said in a statement.
Sistema Mass Media said in a statement that the stake grew as a result of a cash-free deal in which RWS CEO Yuri Sapronov transferred his previously owned 50% stake in RWS, which owns 25% of Sistema Mass Media, to Sistema Mass Media.
Sapronov now holds 49% stake in RWS following the deal, while the remaining 51% is owned by Sistema Mass Media.
In the future, Sapronov will focus on developing the RWS's film production business.
Sistema Mass Media operates in three market segments: pay TV, premium movie and TV content production and advertising. It includes CJSC Stream TV Company, CJSC Russian World Studios (RWS), Maxima Advertizing Agency and CJSC TsTV. SMM is also a co-founder, together with state television and radio company VGTRK, of OJSC Lenfilm XXI.
Sistema Mass Media's main owner is AFK Sistema. The founders of RWS, headed by Andrei Smirnov, owned a blocking stake through RWS.