AFK Sistema : Sistema announces the sale of Targin

26/12/2016

Sistema announces the sale of Targin

Moscow, Russia - 26 December 2016 - Sistema PJSFC (LSE: SSA, MOEX: AFKS) ('Sistema' or 'the Corporation'), a publicly-traded diversified holding company, announces the sale of 100% of the shares of Targin JSC to PJSC Rosneft Oil Company ('Rosneft') for up to RUB 4.1 billion, with the possibility to revise the sale price following completion of due diligence. The deal was approved in accordance with Sistema and Rosneft corporate procedures, and will be completed once all conditions have been met, including approval by the Russian Federal Antimonopoly Service.

Sistema President and Chief Executive Officer Mikhail Shamolin said: 'The sale of Targin JSC is a logical step for Sistema, and is in line with our strategy of optimising our investment portfolio in order to focus on business areas in which the Corporation already has significant expertise. Among Sistema's top priorities are the further growth of its portfolio companies and profitable monetisation of assets.'

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Sistema PJSFC is a publicly-traded diversified Russian holding company serving over 150 million customers in the sectors of telecommunications, high technology, banking, retail, timber processing, agriculture, real estate, pharmaceuticals, tourism and healthcare services. The company was founded in 1993. Its revenue in 2015 reached RUB 708.6bn; its total assets equalled RUB 1.3tn as of 31 December 2015. Sistema's global depositary receipts are listed under the symbol 'SSA' on the London Stock Exchange. Sistema's ordinary shares are listed under the 'AFKS' ticker on the Moscow Stock Exchange. Website: www.sistema.ru.