IPOC case begins

12 Jul 2006

A Russian court is set to begin preliminary hearings this week in the case relating to the ownership of a 25.1% stake in the country’s third largest cellular operator, MegaFon. IPOC International Growth Fund, which already has an 8% interest in MegaFon, claims it had first option to acquire a 25.1% stake from fellow shareholder CT Mobile in 2003. However, another Russian investor, the Alfa Group, moved in and acquired CT Mobile in a move which IPOC has said was illegal. The 25.1% stake was frozen by a court in April pending the outcome of the lawsuit.

Russia, MegaFon