Mobile TeleSystems OJSC (MTS), a telecommunications provider in Russia and the CIS, has acquired CJSC Multiregion from Cavolo Trading for $123.5m, and will also assume approximately $94.4m debts.
The company said that the acquisition will significantly enhance its position in the rapidly growing broadband and cable TV markets in the Russian regions.
The Multiregion is a group of broadband and cable TV providers with presence in 37 cities of the Russian Federation, and with network coverage of around 1.8 million households, of which 1.3 million are FTTB-based.
Mikhail Shamolin, president and chief executive officer of MTS, said: "As the largest integrated telecommunications provider in Russia and the CIS, MTS will be able to provide its customers a broad, innovative and bundled offering of mobile and fixed line telephony, high-speed broadband internet access and television services in over 110 cities in Russia.
"It fits perfectly into our ‘3i’ strategy, as it allows us to expand our integrated service portfolio and to differentiate our products from the competition."
