Comstar Regions snaps up Novosibirsk-based NMC for RUB725 million

22 Dec 2010

Russian telco Mobile TeleSystems (MTS) has announced that its subsidiary Comstar-Regions has acquired a 100% stake in Novosibirsk Multiservice Company (NMC), a leading alternative operator in the Novosibirsk region, from a group of private investors. The transaction has been valued at RUB725 million (USD23.6 million), including debt considerations. NMC currently provides fixed line voice telephony, broadband and cable TV services in the Novosibirsk region under the CityHomeNet brand. MTS claims that NMC is the leading cable TV operator in the region with 71,000 subscribers. In addition NMC has 41,000 broadband subscribers and 500 corporate fixed telephony customers.NMC’s fibre-to-the-building (FTTB) network reportedly covers around 247,000 households.

Aleksander Popovskiy, head of MTS Russia’s Business Unit commented: ‘The acquisition is in line with the company’s strategy of rapidly expanding broadband and pay-TV services throughout Russia. The acquisition presents MTS with a great opportunity to enhance its position in an attractive market like Novosibirsk, the third-largest city in Russia, by complementing our 3G mobile services with fixed-line broadband and pay-TV services, with the goal of providing the very best customer experience’.

Russia, Comstar United TeleSystems (Comstar UTS), Mobile TeleSystems (MTS)