"MegaFon" Yota is going to buy for 1.2 billion dollars
Russia's second largest mobile operator MegaFon increased its net profit in the second quarter to eight times yoy, beating analysts' estimates, and said it would buy the operator of fourth-generation Skartel for $ 1.2 billion. The deal will bring together assets owned by Russia's richest man Alisher Usmanov, and strengthen the position of MegaFon in fast-growing segment of telecommunications, according to Reuters .
Skartel, operating under the brand name Yota, provides wireless communication format LTE, which analysts say will become the worldwide industry standard. Megaphone came in first place in the market of LTE services in the past year, bringing them in Moscow in May 2012 on the infrastructure Skartel - two months earlier than the competitors to have their own licenses to provide communication of this format.
"We believe in the mass of the product in the future, we will definitely put on it, including that transaction, as Skartel, so we are very hopeful and will do everything for it to be a leader in this segment," - said the head of Ivan Tavrin. Megafon shares were up 4.9 percent in early trading on the London Stock Exchange.
Megaphone buys Skartel at Garsdale, telecommunications holding Usmanov, who owns more than 50 percent of MegaFon. Usmanov has 82 percent of Garsdale, holding the remaining shares are owned by companies Telconet Capital and having the support of the state corporation Rostekhnadzor. Telconet controlled by businessman Sergey Adonyeva and Albert Avdolyanom that can come out of Garsdale, the article says Vedomosti , published this week.
MegaFon will pay half of the $ 1.2 billion the year after closing, and the other half - in a year. The company also assumes $ 600 million of debt Skartel. Analysts at Bank of America Merrill Lynch believe that the transaction price to the expectations of the market, which is good news. "It's no surprise price. Previously, she was the main reason for concern because of the cross-ownership" - said in a note.
Megaphone, who received permission from the Federal Antimonopoly Service of the Russian Federation to buy Skartel last month, said the deal is expected to close in late September. The acquisition requires the approval of a majority of shareholders of MegaFon without Garsdale. The largest minority shareholder in Megafon TeliaSonera, which has 25.17 percent stake, plans to vote for the deal.
From a report released Thursday by the company that its net income rose to 13.6 billion rubles in the second quarter of 2013 from 1.7 billion rubles a year earlier, while analysts polled by Reuters had forecast 12.4 billion.
.jpg)
