Usmanov: the merger of MegaFon and Yota can happen in the next 2 years

Usmanov: the merger of MegaFon and Yota can happen in the next 2 years


MOSCOW, December 28. The merger of MegaFon and Yota can happen in the next 2 years, said in an interview with TV channel “Russia 24” the main owner of MegaFon, Alisher Usmanov.

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“When buying a Yota we got significant headroom for future technologies LTE, frequency resource. Until today “the Megaphone” and Yota have existed separately. Both companies have developed steadily. MegaFon is a little heavier as the market is very competitive. Yota stepped up infrastructure. Now Yota, as a subsidiary, may use the infrastructure of “MegaFon”, – said Usmanov.

According to him, the next step will be the merger of these companies in the infrastructure of MegaFon.

“The process starts when a significant frequency resource necessary to use a larger volume of information and speed of its transmission, will play a role for the return of the invested funds and receiving the revenue side of the project. In today’s development market in a few years we will already have a certain result,” – said the businessman.

October 1, 2015, MegaFon paid the remaining 10% of the total cost of the transaction for the purchase of Scartel (brand Yota) the holding Garsdale. The amount of payment amounted to 120 million dollars plus interest at 6% per annum, accrued from the closing date of the transaction is October 1, 2013 Summer 2014 “MegaFon” early paid about 90% of the transaction value (1.06 billion dollars) holding company Garsdale for the purchase of Scartel.

Yota provides Federal coverage in networks 2G/3G/4G at United network LLC “Scartel” and JSC “MegaFon”, providing services of voice communication and data transmission.