Tinkoff stops purchase talks with Yandex, to develop independently - All News - PRIME Business News Agency - All News Politics Economy Business Wire Financial Wire Oil Gas Chemical Industry Power Industry Metals Mining Pulp Paper Agro Commodities Transport Automobile Construction Real Estate Telecommunications Engineering Hi-Tech Consumer Goods Retail Calendar Our Features Interviews Opinions Press Releases

Tinkoff stops purchase talks with Yandex, to develop independently

Tinkoff01MOSCOW, Oct 16 (PRIME) -- Tinkoff Group has terminated acquisition negotiations with Internet company Yandex and will develop independently, it said on Friday.

After further discussion, including with Tinkoffs controlling shareholder, the parties agreed to discontinue the potential deal. Thus, the negotiations between the parties on the potential deal were stopped immediately, the group said.

Yandexs shares went down by 2.70% to 4,626 rubles on the Moscow Exchange as of 1.14 p.m. local time.

Media reported earlier that Tinkoff Groups main shareholder Oleg Tinkov was considering other options, including an acquisition by mobile operator MTS or its unit, MTS Bank.

Were not holding negotiations with anyone, Tinkoff will develop further independently, a group spokesperson told PRIME.

MTS ordinary shares eased by 1.80% to 319.95 rubles on the Moscow Exchange as of 1.14 p.m.

Tinkoff and Yandex said earlier that they agreed the U.S. $5.48 billion acquisition in general, but warned that there was no certainty in the deal.

Tinkov wanted the deal to be a merger to participate in business management. Yandex wanted to acquire the company fully and make all decisions itself, a source close to one of the companies told PRIME.

Yandexs opinion

Yandex said in a statement that it confirms with regret that it has not been able to agree clear transaction terms with Tinkoffs core shareholders and accordingly that the parties have mutually agreed to terminate discussions of a possible offer by Yandex for 100% of the share capital of Tinkoff.

The Internet company confirmed that it does not intend to make an offer to Tinkoff.

Yandex Deputy CEO Tigran Khudaverdyan said in a letter to the companys employees, Weve been constantly meeting Oleg (Tinkov) halfway in his additional requests. We, certainly, agreed that after the deal Oleg would participate in management of the bank and would help Yandex in general (it would be logical, because after the deal Oleg would have become a large Yanex shareholder.

Unfortunately, there were new and new demands after every stage of the negotiations. This is why, when we have leant today that Oleg had decided to retreat from the deal, we were not surprised.

If the deal had taken place, Yandex would have built partnership relations with the Tinkoff team by giving it freedom in business development and all the opportunities of the Internet companys ecosystem, Khudaverdyan said.

Regulators plan

The central bank will check Tinkoff and Yandex for signs of insider trading in the wake of distribution of information about the purchase of the group by Yandex and termination of the talks, said Valery Lyach, head of the regulators department fighting against unfair practices.

Its our standard move. Well check it anyway. We hold a preliminary analysis of all unusual deals for the signs of insider trade. Well announce the presence of such signs or discovery of suspicious transactions after investigation not to influence the quotes, he told PRIME.

(77.9461 rubles U.S. $1)

End %%ee/jst%%

16.10.2020 17:14
Share |
To report an error select text and press Ctrl+Enter
Central Bank Official Rate
1W 1M 1Y
EUR 91.2632 +0.9080 29 oct
USD 77.5520 +1.0964 29 oct
Stock Market Indices
1D 1W 1M 1Y
rtsi 1090.32 -3.63 15:11 28 oct
micex 2712.34 -1.83 15:11 28 oct
Stock Quotes in RUR
1D 1W 1M 1Y
gazp 156.48 -1.71 14:55 28 oct
lkoh 4035.50 -2.13 14:55 28 oct
rosn 358.15 -3.85 14:55 28 oct
sber 203.78 -1.86 14:55 28 oct
MICEX Ruble Trading
1D 1W 1M 1Y
EURTD 91.8525 +1.5250 14:55 28 oct
USDTD 78.2600 +1.1400 14:55 28 oct