Rostelecom applies for overseas listing; plots satellite infrastructure purchase

4 May 2011

Russia’s state-owned telecoms giant Rostelecom has reportedly applied to the financial markets regulator to list up to 25% of its shares on an overseas stock exchange. In a disclosure document revealed on Friday, Rostelecom indicated that it intends to list 735.8 million shares, out of a total of around three billion. As reported by TeleGeography’s CommsUpdate last month, CEO Alexander Provorotov hopes to list 25% of the company’s shares, most likely on the London Stock Exchange, by the end of 2011.

In other news, RBC Daily has reported that Rostelecom is considering a bid for satellite broadband operator Raduga Internet, with a view to extending its broadband footprint to the entire country. The deal is estimated to be worth around USD6 million. In addition, the telecoms giant is poised to purchase 39.87% of shares in Bashkiria’s largest telecom operator Bashinformsvyaz, for USD132 million. According to Kommersant, the deal – which has yet to be approved by the Federal Antimonopoly Service – is likely to close in May or June 2011. Bashinformsvyaz provides broadband internet, pay-TV and fixed telephony services in the region, also renting out channels to other operators.

Russia, Rostelecom