June 2, 23:28
AFK Sistema is considering the possibility of an IPO of MTS Bank in 2022
The network of clinics "Medsi", the agricultural holding "Step" and "Binnopharm group" will not hold an IPO for three months
MOSCOW, June 3. / TASS /. AFK Sistema is considering an IPO (initial public offering) of MTS Bank next year, Vladimir Yevtushenkov, Chairman of the Board of Directors of Sistema , said in an interview with RBC .
“The company [MTS] is dynamically developing every day, for example, until recently there was no MTS Media subdivision - the online cinema KION, and now everyone in Moscow and in the regions understands that it exists. Games and entertainment need to be made more ambitious. Fintech and MTS Bank will continue to develop, which today surpasses the achievements of the same Tinkoff Bank in a number of indicators. By the way, the idea of making an IPO of this bank next year is being discussed, "he said.
MTS Bank is a universal commercial bank founded in 1993. It is one of the 50 leading banks in Russia in terms of assets. The main shareholders are Mobile TeleSystems B.V. - a subsidiary of MTS.
"Medsi", "Step" and "Binnopharm group"
Sistema's portfolio companies - the Medsi network of clinics, the Steppe agricultural holding and the Binnopharm group - will not hold an IPO for three months.
“For three months, definitely not,” Yevtushenkov said, answering a question about whether any of the three companies will conduct an IPO in a few months.
He also noted that all these companies (Medsi, Step and Binnopharm Group) are fundamentally ready in terms of reporting, corporate governance and management. "Therefore, we make a decision [about the IPO] a few months [before the potential placement]: yes or no <...>. If it works, we will bring them to the stock exchange and we have a few more pieces [companies] that will also go public through various mechanisms. We need to look for a window of opportunity when the market demand will meet our objectives. The size of the company and its expected value are also important, "Yevtushenkov explained.
He clarified that launching an IPO is not an end in itself, the company does not have the same tasks as in a planned economy, "today [we put it on the stock exchange] this, then this." Yevtushenkov also noted that everyone knows that among financial instruments, the sale of shares on the stock exchange is the most expensive money. “But I deliberately go for it. Certainly not for the sake of money, because it could have been obtained in completely different ways - through loans, bonds, and so on,” he commented.
Revenue of Medsi in 2020 increased by 12%, Steppe - by 15%, Segezha - by 18%. "Somewhere [revenue] will be more, somewhere a little less. But everywhere it will be in positive territory and definitely above the market," Yevtushenkov replied to the question of whether it will be possible to repeat this this year or is it a one-time effect.
AFK Sistema is one of the largest private financial and industrial groups in Russia. Specializes in industries such as telecommunications, energy, high technology, radio and space technologies, banking, retail, agriculture, tourism and medical services. The AFK portfolio in various shares includes the mobile operator MTS, MTS Bank, the energy company BESK, the RTI holding, various hotels, including those operating under the brands Park Inn by Radisson, Holiday Inn Express, the Cosmos hotel in Moscow, etc., the group companies "Detsky Mir", timber holding Segezha Group, pharmaceutical complex "Binnopharm", agricultural holding "Step", etc.