Sistema notified of court enforcement action in relation to shares of MTS, Medsi and BPGC
Moscow, 26 June 2017 - Sistema PJSFC (LSE: SSA) ("Sistema" or "the Corporation") announces that it has received a notice of an enforcement action from the Moscow Directorate of the Federal Bailiffs Service and a copy of a court order from the Republic of Bashkortostan Arbitration Court. According to the court order, an arrest has been imposed on the following shares owned by Sistema and Sistema-Invest: 31.76% in the share capital of MTS, 100% in the share capital of Medsi and 90.47% in the share capital of Bashkirian Power Grid Company ("BPGC").
The arrest of shares was made following a decision by the Republic of Bashkortostan Arbitration Court as a security in the framework of the legal claim lodged by Rosneft, PJSOC Bashneft and the Republic of Bashkortostan (the "Claimants") against Sistema and Sistema-Invest in May 2017 (the "Claim").
Contrary to the court order, the bailiffs imposed extra restrictive measures which, in addition to the arrest of shares, limit the rights of Sistema and Sistema-Invest to receive any income on the arrested shares.
Sistema will appeal both the court order and the bailiff's restrictive measures.
Sistema disputes the Claim and considers the demands of the Claimants to be unlawful and unfounded. Sistema is one of Russia's largest companies and the value of its net assets significantly exceeds the total loss allegedly incurred by the Claimants that they are seeking to recover. Furthermore, Sistema Group has had and maintains strong creditworthiness and trust among participants of the debt capital markets.
For further information, please visit www.sistema.ru or contact:
Tel.: +7 (495) 730 66 00
Tel.: +7 (495) 228 15 27
Sistema PJSFC is a publicly traded diversified Russian holding company serving over 150 million customers in such sectors as telecommunications, retail, paper and packaging, agriculture, high technology, banking, real estate, pharmaceuticals, tourism and healthcare services. The company was founded in 1993. Its revenue in 2016 reached RUB 697.7bn; its total assets equalled RUB 1.1tn as of 31 December 2016. Sistema's global depositary receipts are listed under the "SSA" ticker on the London Stock Exchange. Sistema's ordinary shares are listed under the "AFKS" ticker on the Moscow Exchange. Website: www.sistema.ru
This information is provided by RNS