MOSCOW-Golden Telecom Inc. agreed to acquire 18 percent of MCT Corp., a cellular operator in Russia and central Asia, in exchange for Golden’s 100-percent ownership of Vostok Mobile B.V., a Dutch registered private limited holding company that owns Golden Telecom’s Russian mobile operations. As part of the transaction, Golden Telecom also acquired for cash US$9 million of MCT debt convertible into equity securities.
“We believe this transaction is the best way to unlock the value of our Russian mobile assets,” said Stewart Reich, president and chief executive officer of Golden Telecom. “MCT will have the critical mass necessary to become a leading integrated national mobile operator and will have a management team focused on this goal.”
Following the acquisition, MCT’s properties will cover a population base of more than 100 million people, including Russia’s four largest cities, along with Uzbekistan and Tajikistan, Golden Telecom said.
“As one of the major cellular operators in Russia, MCT continues to consolidate local operators into a national operator,” said Golden Telecom.
