Following their joint announcement of February, 13, 2006, SISTEMA (LSE: SSA) and INTRACOM HOLDINGS SA (ASE: INTRK), Concern SITRONICS, the technology arm of SISTEMA and INTRACOM HOLDINGS announce that today they have reached a final agreement for the acquisition by Concern SITRONICS of a 51% stake in INTRACOM TELECOM for EUR 120 million. The stocks transfer is expected to take place by June 30, 2006.
INTRACOM TELECOM is a fully owned subsidiary of INTRACOM HOLDINGS providing complete telecommunications solutions and services in the EEMEA (Eastern Europe, Middle East and Africa) region. INTRACOM TELECOM, through its R&D activity, has developed and manufactured a full portfolio of advanced technological products in the areas of broadband fixed and wireless access and transmission systems, as well as content delivery systems (IPTV, triple-play).
Concern SITRONICS will integrate the company into its Telecom Solutions Division, whose primary focus is currently on switching equipment, billing systems and NGN, aiming to achieve full scale synergies from INTRACOM TELECOM's complementary product lines, system integration capabilities and customer base.
Sistema is the largest private sector consumer services company in Russia and the CIS, with over 50 million customers. Sistema portfolio includes market-leading businesses in selected service-based industries, including telecommunications, technology, insurance, banking, real estate, retail and media. Founded in 1993, the company reported in 2005 revenues of US$ 7.6 billion and total assets of US$ 14 billion. Sistema's shares are listed under the symbol "SSA" on the London Stock Exchange, under the symbol "AFKS" on the Russian Trading System (RTS), and under the symbol "SIST" on the Moscow Stock Exchange (MSE).
Concern SITRONICS, headquartered in Moscow, Russia is the technology arm of Sistema active in four core segments: Telecom equipment manufacturing & software development (Telecom Solutions), Information Technologies, Microelectronic Components, Consumer Electronics. Founded in 1997, the company reported in 2005 reveneus $954,9 mln and total assets $567,8 mln. SITRONICS has production facilities in Moscow, Kiev, Prague and several other East European cities. Sitronics has 6 700 emploees. Its products are sold in Western and Easter Europe, Russia and CIS, North America, Middle East and South-East Asia.
INTRACOM SA was founded in 1977, has been listed on the Athens Stock Exchange since 1990, and is included in the FTSE/ASE-20 LargeCap index. On December 2005, the Group reorganized, creating INTRACOM HOLDINGS, one of the largest Greek multinational holding Groups, active in telecommunications, e-government, banking and enterprise, defense electronic systems, and construction. The Group's major subsidiaries are: INTRACOM TELECOM, INTRACOM DEFENSE ELECTRONICS, INTRACOM IT SERVICES, INTRAKAT and H.O.L. INTRACOM HOLDINGS Group has 5,700 employees, exports to 60 countries, and operates subsidiaries in 19 countries.
INTRACOM TELECOM is a subsidiary of INTRACOM HOLDINGS. The company is a leading telecommunications equipment vendor and solutions provider for fixed and mobile operators. The company delivers end-to-end future proof solutions, implements large-scale turn-key projects and provides a wide range of professional and outsourcing services to telecommunications operators. INTRACOM TELECOM operates subsidiaries in 13 countries and, together with them, is active in more than 50 countries, strategically aiming to the area of South Eastern Europe, Middle East and North Africa.
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