Russian operators Rostelecom and Tele2 Russia have completed the second and final stage of their deal to create a new mobile joint venture.
The second phase has seen state-controlled Rostelecom transfer 100% of its shares in subsidiary RT-Mobile, which…
Russian operators Rostelecom and Tele2 Russia have completed the second and final stage of their deal to create a new mobile joint venture.
The second phase has seen state-controlled Rostelecom transfer 100% of its shares in subsidiary RT-Mobile, which owns its formerly integrated mobile assets and licences, to the JV.
Once the JV’s charter is updated, Tele2 Russia will have a 55% stake in the new entity, while Rostelecom will have the remaining 45%.
The first stage of the deal, completed in late March, saw Rostelecom transfer shares in mobile subsidiaries such as Sky Link together with assets in its certain regions, including Moscow and Saint Petersburg, to the JV.
Rostelecom and Tele2 Russia, whose shares are equally split between Russian bank VEB and a consortium of local investors, say their new mobile operation will have more than 38 million subscribers, equal to a 16% share of the national mobile market, in 64 Russian regions. The JV will have licences and spectrum to provide 3G and 4G services.
Announcing the completion today, Rostelecom noted that it has occurred several months ahead of schedule. The companies initially said they intended to complete the deal by the end of the year.
The next priority, Rostelecom added, is to integrate the businesses within the JV and finalise its strategy and business plan.
Russia’s Federal Antimonopoly Service (FAS) cleared the deal in mid-May.
Rostelecom and Tele2 Russia have said the JV should enable them to better compete with the nation’s three largest mobile operators: MTS, MegaFon and VimpelCom.
