Release details

2016-12-14 09:34 CET
  • Print
  • Share Share
en ru

Alexander Tynkovan and his Partners Pavel Breev and Mikhail Tynkovan Agree to Sell Entire Interest in M.Video to Safmar Group

  • Safmar Group will acquire 100% of an investment company owned by Alexander Tynkovan and his business partners. The investment company in turn owns 57.7% of PJSC Under the agreement the acquisition price will be USD 7 per share of;
  • As a condition of the acquisition, an agreement has been reached whereby Safmar Group will make a voluntary tender offer to all minority shareholders of PJSC at the same acquisition price;
  • will continue to operate as usual, and the entire management team will remain in place throughout the transaction process and after completion.

Moscow, 14 December 2016 - Alexander Tynkovan, the founder, President and CEO of (MOEX: MVID), Russia's largest consumer electronics retailer, ("the Company") and his partners Pavel Breev and Mikhail Tynkovan, today announce the signing of an agreement to sell their entire interest in PJSC to Safmar Group. Under the agreement, Safmar Group will acquire 100% of shares in an investment company owned by Alexander Tynkovan and his business partners. The investment company in turn owns 57.7% of

The agreement ensures fair and equal treatment of all shareholders, as it includes as a mandatory condition to completion of the transaction a voluntary tender offer to be made by Safmar Group to all minority shareholders of to acquire their shares (the "Voluntary Tender Offer") at the same acquisition price as that paid to Alexander Tynkovan and his business partners. The Voluntary Tender Offer will be secured by a bank guarantee, in compliance with applicable legislation.

Completion of the transaction is subject to all necessary regulatory approvals being obtained.

The management team will remain fully engaged in the operational management of the Company both before and after the transaction closes. Alexander Tynkovan and Pavel Breev will also provide all necessary support following completion of the transaction, in order to ensure a seamless transition and continued growth to benefit shareholders, partners, employees and customers alike. has built one of the best corporate governance systems in Russia, and has an experienced and strong management team led by Enrique Fernandez, CEO of Management LLC, which will ensure operational continuity throughout the transition period and thereafter.

Alexander Tynkovan said: "In the more than 20 years since I founded, our Company has transformed from a small shop into the largest company in its sector. But what is more important is that we have created a highly efficient management system that will drive's sustainable growth in future. The Company is ready to achieve new and ambitious goals, and fresh investment from the new shareholder will help take it to the next level. I am a strong believer in the future of the new Company and will be pleased to support the management and new shareholders after the transaction completes."

BIN Group (Safmar) founder Mikhail Gutseriev said: " is one of the outstanding companies in its field, and we see it as the base for Safmar Group to expand its business in the non-food retail sector. We look forward to working with's professional management team, and to benefiting from its experience and expertise. I would also like to express my appreciation to Alexander Tynkovan and Pavel Breev for their support and readiness to work with us after the transaction closes."

Today at 1700 Moscow time (1400 London time) Alexander Tynkovan and the management team will hold a conference call for investors and analysts, including a Q&A session.

Russia: +7-495-221-6523 or 8-10-8002-041-4011

UK +44-20-3043-2440 or 0808-238-1774

USA +1-877-887-4163

PIN code: 93768518#

Media contacts

For the Sellers

Denis Denisov,, +7-985-410-3544

Tom Blackwell,, +7-919-102-9064

Peter Morley,, +44-7927-186645

For Safmar Group

Maria Tatevosova, , +7-903-773-49-11 investor contacts

Ekaterina Sokolova, CFO and head of investor relations,, +7 495 644 2848 extn. 7646

Valeria Andreeva, head of PR,, +7 495 644 2848 extn. 7386

About the sellers

Alexander Tynkovan, member of the Board of Directors, President and CEO of

Alexander Tynkovan was born on 14 June 1967. In 1992 he graduated from Moscow Energy Institute. He founded together with partners in 1993 and has serves as the Company's President and CEO ever since. From 2008 to May 2015 he was a member of the Supervisory Board of X5 Retail Group N.V.

Pavel Breev, member of the Board of Directors, Vice-President of

Pavel Breev was born on 22 April 1967. In 1986 he graduated from Moscow Aviation Engine College. He is a co-founder of Group and has held various positions in management since 1993.

About is the largest Russian consumer electronic retail chain by revenue. The Company started its operations in 1993. runs 390 brand name stores in 165 Russian cities as of November 21, 2016. The selling space of stores amounts to 665,140 thousand sq. m. while the total space accounts to 884,334 thousand sq. m. offers its customers approximately 20,000 SKUs of audio/video, digital, small and large home appliances, media and entertainment products as well as accessories. operates its stores under a uniform format and a specially designed store concept to provide customers with approximately 2,000 square meters of easy-to-navigate shopping space that also offers information about the products and upcoming trends.

In November 2007 OJSC "Company "" became the first publicly traded company in the domestic consumer electronic retail sector. The Company's shares are traded on Moscow Exchange (ticker: MVID).