RDIF, Deutsche Bank snap up minor stake in Rostelecom

14 Oct 2013

Rostelecom has announced that the Russian Direct Investment Fund (RDIF) and Deutsche Bank are jointly investing RUB7.7 billion (USD238.1 million) in Rostelecom through the acquisition of 72,187,366 ordinary shares from its subsidiary Mobitel. The structure of the deal will also involve Rostelecom signing call and put options to entitle the company to a portion of an increase in share value if the share price rises, and investors will be protected if the share price falls. The deal, which equates to a 2.7% stake, has received all necessary approvals from Rostelecom, the RDIF and Deutsche Bank. The Russian carrier has indicated that the investments will be directed towards both the company’s future development and the strengthening of its market position.

Russia, Rostelecom