Binnopharm Group Increased Its Stake in Sintez OJSC up to 88.6%
AFK Sistema PAO (AFK Sistema, the Corporation, or the Group if mentioned together with its subsidiaries and affiliates) (LSE: SSA, MOEX: AFKS) reports that Sistema Telecom Activy LLC being their 100% subsidiary has made a contribution of its 32.4% equity stake in Sintez OJSC to the equity capital of Binnopharm Group LLC, with Binnopharm Group having ultimately increased its stake in Sintez OJSC up to 88.6 percent.
As a result, the effective equity stake of Sistema and VTB, as the Sistema's financial partner in pharmaceutical business, in Binnopharm Group now makes 86.5 percent, while that of the investment consortium within the Russian Direct Investment Fund (RDIF), the Russia-China Investment Fund (RCIF) created by RDIF and the China Investment Corporation (CIC), and major Middle Eastern funds is 12.5 percent, with the remaining 1 percent held by an individual minority shareholder.
Binnopharm Group is a Russian vertically integrated pharmaceutical holding company that comprises five sites across the Russia’s regions, i.e., Alium, JSC (previously known as Obolenskoe in the Serpukhov District, the Moscow Region), Binnopharm, JSC (two sites in Zelenograd and Krasnogorsk), Sintez OJSC (Kurgan), and JSC Biocom (Stavropol). The companies manufacture a wide range of medicines within a variety of medication classes and have a total of the largest drug portfolio among Russian manufacturers, which consists of more than 450 registration certificates, including the Sputnik V COVID-19 vaccine.