UPDATE: M.Video, Sber, Tynkovan to boost goods.ru, Sber to spend 34 bln rbl

(Changes amount in headline, adds Sber’s comments in paragraph 3)

MOSCOW, Jan 28 (PRIME) -- Russian electronics seller M.Video–Eldorado Group has signed a memorandum of intent with ecosystem Sber and founder and co-owner of goods.ru Alexander Tynkovan to develop marketplace goods.ru together, M.Video-Eldorado said on Thursday in a statement.

The parties expect to conclude a binding agreement in January–June following completion of due diligence and after all the necessary approvals and permits have been granted by corporate governance bodies and the Federal Antimonopoly Service.

“For the deal, goods.ru is estimated at 10 billion rubles. Under the agreement, Sber will invest in development of goods.ru some 30 billion rubles and will buy a part of shares belonging to M.Video-Eldorado for 4 billion rubles,” a Sber spokesperson said.

As a result, Sber’s ownership in goods.ru will amount to 85%, with the holdings of M.Video-Eldorado and Tynkovan to 10% and 5%, respectively. All three parties are to be represented on the board of directors of the marketplace.

The partners expect that the integration of goods.ru into the Sber ecosystem, combined with Sber’s capabilities, expertise and strong experience in e-commerce, as well as synergies with other projects in the Sber ecosystem, such as SberMarket, SBER EAPTEKA (Sber ePharmacy), SberLogistics and Samokat, will transform goods.ru into one of Russia’s key e-commerce companies.

Goods.ru will become the main multi-category e-commerce platform for Sber, where 18 main categories with 2.5 million products are represented today, and their number will increase in the future.

M.Video-Eldorado Group will focus on developing its core business while remaining a partner in the joint venture.

(75.0400 rubles – U.S. $1)

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