Russian operator VimpelCom may increase its stake in handset mobile retailer Euroset from 49.9% to 74.9% in October, according to media reports.
Russia’s third largest operator acquired an option to raise its stake when it bought its initial 49.9%…
Russian operator VimpelCom may increase its stake in handset mobile retailer Euroset from 49.9% to 74.9% in October, according to media reports.
Russia’s third largest operator acquired an option to raise its stake when it bought its initial 49.9% stake from local businessman Alexander Mamut in 2008.
Mamut currently owns 50.1% of Euroset.
“As the deadline of option exercise is approaching, we are certainly studying the expediency of this option, but the final decision will be made only after a detailed analysis is made,” a VimpelCom spokesperson said.
Euroset postponed its IPO in May because of unfavourable market conditions. It was to use the proceeds to fund the development of its retail outlet network and for general corporate purposes.
The retailer posted Rbs61.907bn (US$2.2bn) in consolidated revenues in 2010, an EBITDA of Rbs8.37bn (US$295m) and a net profit of Rbs5.575bn (US$196m) with EBITDA margin standing at 13.5%.
It claims a 30% market share of the national retail mobile handset sector. The company has 4,014 outlets in Russia, 275 outlets in Ukraine and 78 outlets in Belarus. It employs about 27,000 people.
