Rostelecom, big-3, Russian Techologies ink deal to buy Yota group
MOSCOW. March 3 (Interfax) - OJSC Rostelecom , OJSC Mobile TeleSystems (MTS) , OJSC VimpelCom , OJSC Megafon , and the state corporation Russian Technologies have in the presence of Russian Prime Minister Vladimir Putin signed an agreement to acquire the Yota group, an Interfax correspondent reported from the signing ceremonies.
Yota Holding board of directors chairman Sergei Adonyev also signed the agreement.
The terms of the deal give the four operators the opportunity to make use of the resources of the fourth-generation LTE (long-term evolution) wireless communications network the Yota group is building. The operators also have the option to acquire shares in the group in 2014.
At the present time, Yota is 20% owned by Russian Technologies, and the other 75% of shares are held by private investors, including Adonyev. If the stock option is exercised, the four operators and Russian Technologies will each get 20% of the Yota stock. "In the actual event this is history for the five players. They will share equally - each will have 20%," Communications and Mass Media Minister Igor Schegolev told reporters.