Moscow, Russia, 20-8-2013 — /EuropaWire/ — Rostelecom OJSC (the “Group”) (MICEX – RTS: RTKM, RTKMP; OTCQX: ROSYY), Russia’s national telecommunications operator, today announces that it has outlined the share buyback procedure as part of the second stage of the Company’s reorganisation1¹.
During the 45 days following the EGM², shareholders who voted against the reorganisation, or abstained from voting, tendered 21.5% of ordinary shares and 58.6% of preferred shares, of which Russian legislation recognised the requirement to buyback 20.8% of ordinary shares and 55.8% of preferred shares.
In accordance with Russian legislation restricting share buyback to 10% of the value of a company’s net assets, the volume of buyback requests will be proportionately reduced and shares will be bought back at a rate of 31.4%³.The buyback will amount to RUB 30.253 billion.
The Company will complete share buyback payments by September 9, 2013. As a result, the Company will acquire 6.5% of its own ordinary shares and 17.5% of preferred shares.