“Discovery” announced plans to buy 55% stake in Qiwi for $694 million

Moscow. June 10. INTERFAX.RU “Discovery” decided to control in the payment service Qiwi and announced the intention to acquire 55% of the company, estimating this share at $694 million, according to the message group.

“The opening of the holding” and Otkritie investment Cyprus Ltd announced the intention to submit an offer of purchase of not more than 24 million 794 thousand 253 ordinary shares class “B” Qiwi at $28 per share (including those represented by American Depositary share, HELL). The nominal value of the ordinary shares class “B” is 0,0005 euros.

“The creation of added value on the basis of high-tech financial services is one of the strategic priorities of “Opening”. (…) FINTECH market is expanding, the share of such projects in our business is growing steadily and we are confident that this trend will continue. Continuing to implement our strategy, we are expanding our investment in FINTECH and expanding our cooperation with one of the FINTECH leaders of the Russian market and announcing the intention to issue tender offer for the acquisition of 45 to 55% of Qiwi shares class “B”, also features the ADS”, is given in the message words of the Chairman of the Board of JSC “OTKRITIE holding” Alexey Karahan.

Currently, the structure of “Open” has approximately 8,85% stake in Qiwi, a group within the framework of the offer wants to increase its share to about 63,85%.

Specified in the offer price includes a premium for one share of class “B” (including those represented by ADSS), which is: – 19% to the price per QIWI ADSS at the close of trading on the Nasdaq on 9 June, which was $23,53; – 87,86% to the price per Qiwi ADSS at the close of trading on the Nasdaq to the average price of our ADSS for the last year, which was $of 14.91.

Offer directed to all holders of shares of class B (including those represented by ADSS of the company, Qiwi).

Almost simultaneously with the announcement of the offer “Discovery” initiated preliminary discussions about potential cooperation with the company Saldivar Investments Ltd, which owns a controlling stake in Qiwi, as well as its controlling person and chief Executive officer of the company Sergey Corned beef.

“Such discussions are preliminary, and currently between the parties there are no agreements or arrangements in written or oral form”, – stated in the message.

Qiwi is the leading payment service next-generation payment network that includes more than 17.2 million virtual wallets and more than 162 thousand terminals and points of reception of payments. Qiwi trading company accept monthly payments (in cash and electronic form) for the sum over 70 billion roubles from more than 56 million customers in Russia and CIS countries. Qiwi works (and tends to work) on those markets and consumer segments, where the bulk of all settlements are in cash and where consumers are offered convenient options for paying for goods in person, online and through mobile apps.

In early June, the Chairman of the Bank “FC Opening” Evgenie Dankevich and the Chairman of the Board of the Bank Elena Budnik was a member of the Board of Directors of Qiwi. Solonin in an interview to “Interfax” reported that the occurrence of the top managers of “Opening” the Board of Directors of Qiwi associated with the expansion of cooperation between the companies.