Rostelecom, AKADO reportedly in ownership talks

11 Aug 2017

Russian state-backed national fixed line operator Rostelecom is currently in talks on a potential takeover of Moscow-based cable broadband operator AKADO, reports BizLiga. Russian billionaire Viktor Vekselberg’s Renova group recently acquired the remaining 25% in AKADO to take its ownership to 100%, a move seen as beneficial in merger talks with other major Russian telecoms operators. Rostelecom has previously held ownership discussions with AKADO, which included the possibility of a share-swap deal, the report adds. The AKADO group provides broadband/pay-TV services in Moscow/Moscow region, St Petersburg/Leningrad region, Yekaterinburg and Sverdlovsk.

An unnamed source was quoted as saying that the Renova group and Rostelecom signed a non-disclosure agreement around a month ago, whilst a merger deal could take place once the proposed sale of two AKADO subsidiaries in Yekaterinburg and St Petersburg to ER-Telecom (Dom.ru) has been completed. The two subsidiary transfers are currently under consideration by Russia’s Federal Antimonopoly Service (FAS). Another source ‘close to Rostelecom’ said that recent negotiations on the purchase of AKADO had been initiated by the cableco.

Russia, AKADO Telecom, ER-Telecom (Dom.ru), Rostelecom