By Olga Razumovskaya
MOSCOW--Russia's second-largest lender VTB Group (VTBR.RS) won't
be considering an initial public offering for the
telecommunications asset it owns for at least another three years,
the bank's deputy head Yury Solovyov said during a conference call
Thursday.
Earlier Thursday VTB and telecoms companies Tele2 Russia and
state-controlled Rostelecom (RTKM.RS) officially annouced the
merger of mobile assets of Tele2 Russia, which belongs to VTB and a
group of strategic investors, with those of Rostelecom, which will
control the remaining 45% of the joint venture.
Mr. Solovyov said the new joint venture company will need a
minimum of three years to reach a "good level of development"
before VTB may consider an IPO, Mr. Solovyov said. He added he
company will consider all potential financing options when that
time comes.
The newly created T2 RTK Holding, 55% of which now belongs to
VTB Group and its partners, Bank Rossiya and entities controlled by
Alexei Mordashov, will operate under the Tele2 brand, VTB said.
Write to Olga Razumovskaya at olga.razumovskaya@dowjones.com
