Peterstar consolidates Synterra
MOSCOW. July 21 (Interfax) - CJSC Peterstar, which is part of the Synterra Group (acquired by MegaFon in June) will merger with its subsidiary providers in Russia's northwest.
Peterstar will be merged with Kaliningrad's CJSC Gazinternet and CJSC Euro-Telecom, Arkhangelsk's CJSC TD-Telecom, St. Petersburg's CJSC Line 1 and Tver's CJSC Kansstel, Synterra said in a statement.
The companies will join Peterstar's current local branches. A Tver-based branch will be founded through Kansstel. The merger of all companies will be closed by October 1, 2010.
Peterstar itself will be merged with Megafon's northwest branch, the cellular provider's deputy general director for strategic projects, Tigran Pogosian, told Interfax at the start of July.
Peterstar is one of the key assets in Synterra Group said Anna Goryainova, the group's deputy general director for corporate management and Megafon's director for legal issues.
"The leading business operator in the Northwest' merger with its subsidiaries is part of brining Synterra's companies in line with MegaFon's corporate norms, which, as a result, will help us reach maximum synergy with Megafon in this strategically important region for us," Goryainova was quoted as saying.
Megafon's board of directors reviewed Synterra's preliminary plan for integration. Special working groups and managing committee have been formed, which will work on integration issue. The company will complete this work by autumn, Pogosian told Interfax.
CJSC Peterstar was founded in 1992. The company provides telecommunications services in St. Petersburg and other major cities in Russia's northwest. The company is the main shareholders in OJSC Pskov City Telephone Network.
CJSC Synterra is the parent company of a holding that includes CJSC Synterra, CJSC Peterstar, the satellite operator Global Teleport, and a number of regional operators. Synterra's trunk network stretches more than 75,000km, but the company does not reveal the relative proportion of rented and owned channels.
MegaFon acquired 100% in Synterra in June from Promsvyazcapital Group for $745 (including debt).