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Last Trade - 08/09/20

Market Cap £1.99bn
Enterprise Value £8.90bn
Revenue £6.06bn
Position in Universe 262nd / 1809

JSFC Sistema - Sistema announces new dividend policy, date of AGM

Mon 18th April, 2016 8:00am
RNS Number : 4549V
JSFC Sistema
18 April 2016

FOR IMMEDIATE RELEASE

Sistema announces new dividend policy and date of Annual General Meeting

Moscow, Russia - April 18, 2016 - Sistema JSFC ("Sistema" or "the Company") (LSE: SSA, MOEX: AFKS), a publicly-traded diversified holding company operating primarily in Russia and the CIS, announces that at the meeting held on April 15, 2016, its Board of Directors approved the Company's new dividend policy.

The new dividend policy states that the total dividend recommended by the Board of Directors for each reporting year will be, at a minimum, the higher of either an amount equivalent to a dividend yield of 4% per Sistema ordinary share or RUB 0.67 per Sistema ordinary share.

The Company will seek to distribute dividends twice per year. Sistema's calculation of the average dividend yield on its ordinary shares shall use the weighted average price of one ordinary share of the Company traded at the Moscow Exchange in the relevant reporting period: full year or six months.

Sistema President Mikhail Shamolin said: "We are pleased to have adopted a new dividend policy, which provides investors with much greater clarity on their potential return. As an investment company we strive to enhance our equity value by building market-leading businesses and actively re-investing proceeds into new value-accretive ventures. This focus on growth, together with a desire to set a predictable return to our shareholders, is a corner stone of the new dividend policy. Moreover, as we continue to execute on our strategy, further increase cash generation and Sistema's asset value, we believe this policy will provide investors with a progressive dividend story. Generally, while current market conditions can at times be challenging, we are seeing an increasing number of attractive opportunities arising, with considerable scope for us to expand our investments and develop our companies further over the course of 2016."

Sistema's Board of Directors also set the date for the Annual General Meeting of Shareholders ("AGM") for June 25, 2016. The record date for shareholders eligible to participate in the AGM is May 10, 2016.

The agenda of the AGM includes the following items:

Approval of the procedures and order of the AGM;

Approval of the annual report and financial statements for 2015;

Approval of the distribution of profit and dividends for Sistema shares, form of the dividend payment and dividend record date;

Election of members of the Company's Board of Directors and Audit Commission;

Approval of the auditors.

The Board of Directors recommended that the AGM approves the total dividend payment for 2015 at RUB 6.47 billion, representing a payment of RUB 0.67 per ordinary share or RUB 13.4 per GDR. The dividend record date as per the Board of Directors' recommendation to the AGM is July 14, 2016.

In addition, the Board of Directors recommended that the AGM approves Deloitte&Touche CIS as the Company's IFRS and Russian Accounting Standards auditors for 2016.

Materials related to all AGM agenda items will be available at www.sistema.com and by request from Sistema's head office from May 25, 2016.

***

For further information, please visit www.sistema.com or contact:

Investor Relations

Yuri Krebs

Tel: +7 (495) 7306600

y.krebs@sistema.ru

Public Relations

Sergey Kopytov

Tel.: +7 (495) 228 15 32

kopytov@sistema.ru

Sistema is a publicly-traded diversified holding company in Russia and the CIS, which invests in and is a major shareholder of companies serving over 100 million customers in the sectors of telecommunications, high technology, radars and aerospace, banking, retail, mass-media, tourism and healthcare services. Founded in 1993, the Company reported revenues of RUB708.6billion for 2015, and total assets of RUB 1.3trillion as at December 31, 2015. Sistema's global depository receipts are listed under the symbol "SSA" on the London Stock Exchange. Sistema's ordinary shares are listed under the symbol "AFKS" on the Moscow Exchange. Website:www.sistema.com

The Company is not an investment company, and is not and will not be registered as such, under the U.S. Investment Company Act of 1940.

Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of Sistema. You can identify forward looking statements by terms such as "expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may" or "might" the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. In addition, there is no assurance that the new contracts entered into by our subsidiaries referenced above will be completed on the terms contained therein or at all. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industries, as well as many other risks specifically related to Sistema and its operations.


This information is provided by RNS
The company news service from the London Stock Exchange
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