Moscow, Russia– August 31, 2016. Sistema PJSFC (“Sistema” or “the Corporation”") (LSE: SSA; MOEX: AFKS), a Russian public diversified holding company, has completed a transaction to sell a 50% equity stake in JSC SG-trans to a group of unaffiliated buyers for RUB 6 billion. The Corporation will maintain ownership of a number of assets previously spun out of JSC SG-trans, including JSC SG-trading and real-estate assets.

Mikhail Shamolin, President and Chief Executive Officer of Sistema, said: “Sistema and its partners have transformed SG-trans into one of Russia’s leading rail freight operators, with an effective and sustainable business model. Despite the challenges faced by the Russian economy and transportation sector in recent years, SG-trans has been a profitable investment for the Corporation. This transaction is proof of our ability to successfully turn around and monetise businesses, supporting growth of the Corporation’s shareholder value.”

Sistema acquired SG-trans in November 2012. After reorganising the Corporation’s transportation assets and bringing in additional investors, Sistema held a 50% stake in SG-trans. Non-core assets were divested from SG-trans Group.

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