VTB to snag 12% Rostelecom stake for RUB35bn

30 Jan 2014

Russian telecoms giant Rostelecom is planning to sell a 12% stake to banking group VTB for up to RUB35 billion (USD995 million) to help to pay for a share buyback, business daily Kommersant has reported. State-controlled Rostelecom is planning a share buyback from those shareholders who will not support a spin-off of its mobile assets into RT-Mobile, a proposed joint venture with Tele2 Russia. VTB acquired Tele2 Russia from Sweden’s Tele2 last year, and is well-placed to free up funds for its new partner.

Russia, Rostelecom, Tele2 Russia, VTB Mobile