MOSCOW, RUSSIA: VTB Capital has invested in the pharmaceutical holding company Binnopharm Group. Sistema’s wholly-owned subsidiary LLC Sistema Telecom Assets sold an 11.2% stake in Ristango Holding Limited, which owns 100% of the authorised capital of Binnopharm Group, to Nevsky Property Investments Limited (controlled by VTB Capital). The transaction totalled RUB 7 billion.
As a result, Sistema’s effective stake in Binnopharm Group together with its financial partner (VTB Bank[1]) stands at 75.3%; a consortium of investors consisting of the Russian Direct Investment Fund (RDIF), the Russia-China Investment Fund (co-founded by RDIF and China Investment Corporation) and leading Middle Eastern funds holds 12.5%; VTB Capital, represented by Nevsky Property Investments Limited, holds 11.2%. The remaining 1% of shares in Binnopharm Group are owned by a minority shareholder (an individual).
Vladimir Chirakhov, President of Sistema: “We are pleased that our achievements in developing Binnopharm Group as part of a strategy aimed at transforming the company into one of the leaders of the Russian pharmaceutical market were highly appreciated by VTB Group. Our cooperation within the pharmaceutical holding company will continue, but VTB Group will play a new role as Binnopharm Group’s shareholder. Sistema remains the main managing shareholder of Binnopharm Group and will continue to implement its development strategy.”
Yuri Soloviev, First Deputy President and Chairman of VTB: “Pharmaceutical industry is one of the socially significant sectors of the Russian economy. Its importance in addressing new challenges in healthcare and supporting public health was demonstrated in 2020. Today Binnopharm Group plays an important role in tackling urgent health issues associated with the pandemic. The company’s main focus is the rapidly developing generics segment, which is also of interest to us as a shareholder. We have a long-term, successful history of working with Sistema; we are jointly developing the pharmaceutical segment of the group’s activities and see our role as helping to finance the company and the industry. We believe that VTB’s experience and expertise will support the company in actively developing its business, achieving ambitious new goals and providing attractive returns to shareholders.”
Binnopharm Group is a full-cycle Russian pharmaceutical holding company that combines five production sites located in different regions of Russia: JSC Alium (formerly OBL Pharm in the Serpukhov district of the Moscow region), JSC Binnopharm (two sites: Zelenograd and Krasnogorsk), OJSC Sintez (Kurgan) and CJSC Biocom (Stavropol). The Binnopharm Group companies produce a wide range of drugs across therapeutic groups and have the largest portfolio of drugs among Russian manufacturers (more than 450 marketing authorisations, including the COVID-19 vaccine Sputnik V).