Press releases | Archive 2006
RBC calls EGM to de-merge IT business
Moscow, November 14, 2006 - At the beginning of November, the Board of Directors of RBC Information Systems (MICEX, RTS: RBCI) decided to hold an Extraordinary General Meeting of the company (EGM) in Moscow on December 18, 2006 to approve the divestment of its information technology (IT) business. The Board recommended executing the spin-off of the IT division via the distribution of IT shares to RBC shareholders as a dividend in kind.
If approved by the EGM, the dividends will be disbursed in the form of common shares in OJSC Armada, the company holding RBC's IT assets, within 60 days of the general meeting's date. As a result, RBC shareholders will receive 95% in the IT company, while the remaining 5% will be reserved for a share option plan for the Armada Board of Directors and management. Alexey Kuzovkin, who has been leading RBC's IT business for the past six years, will serve as Chief Executive Officer for Armada.
The RBC Board promotes the divestment because the company's media and IT divisions no longer enjoy synergies, which used to be in place when the IT business organically emerged within RBC in 2000. Moreover, being part of a media company imposes significant constraints on organic and acquisitive growth of the IT division. The Board is confident that the IT business will have much more exciting growth opportunities, being an independent publicly traded corporation. At the same time, the spin-off will leave RBC free to concentrate its management and financial resources on the core media business.
RBC expects to close the spin-off in the first half of 2007 by floating 15-25% of new Armada shares on the Russian market to raise a developmental capital for the IT company.
For more details on the upcoming EGM, please refer to the company's web site at www.rbcinfosystems.com.