Rostelecom’s upcoming purchase of VTB’s Tele2 stake gets government OK

12 Jun 2019

Russian news agency TASS reports that the Cabinet of Ministers has approved Rostelecom’s planned purchase of state-controlled banking group VTB’s stake in Tele2 Russia, which will give the national fixed line operator a majority holding in its mobile network associate. Chairman of the Board of Directors of Rostelecom, Sergei Ivanov, told journalists that the telco has agreed with the government on the acquisition plan, and that ‘the deal is not negotiable’. Rostelecom currently owns 45% of Tele2, whilst VTB holds 27.5%, Invintel (backed by Alexei Mordashov) 22.0% and ABR Investments (part of Rossiya Bank) 5.5%. VTB, Invintel and ABR hold their combined 55% via a joint holding vehicle.

Russia, Rostelecom, Tele2 Russia