Moscow, Russian Federation (22 June 2015) — Public Joint Stock Company “MegaFon” (LSE: MFON), a leading Russian telecommunications operator (“MegaFon” or the “Company”), announces that the Company’s Board of Directors at the meeting held on 19 June 2015 in the form of absentee ballot approved the acquisition of a 100% interest in GARS Holding Limited (“GARS”) from the companies Stayblon Limited and Giacomodex Finance Limited.
GARS is a building local exchange carrier (BLEC) operator, providing full scope of fixed-line telecommunications services to the tenants of class А, В and С business centers.
The Board determined that the acquisition is consistent with MegaFon’s strategy aimed to leverage secondary core businesses and will allow MegaFon enhancing its fixed-line presence in business centers in Moscow and expanding the Company’s share in B2B market.
The terms of the planned transaction will be disclosed upon the completion of the deal. The acquisition does not require any further corporate approval.