October 21, 2015 at 12:35A Chinese holding bought a controlling stake in Yota Devices for $ 100 million
The Chinese investment holding REX Global Entertainment has acquired a controlling stake in the Russian manufacturer of dual-screen smartphones YotaPhone. Sergey Adonyev and Albert Avdolyan, co-owners of Telconet Capital, sold their share for $ 100 million . REX bought back their 64.9% stake.
An official statement of October 19, 2015 states that the Chinese holding acquired Telcoet Capital Limited Partnership, which is a third party, shares in Yota Devices . Other shares of the company remain with the previous owners - Rostec state corporation (25.1%) and company management (10%), including Yota Devices CEO Vladislav Martynov.
After the deal, investors valued Yota Devices at about $ 154 million.
On October 8 and 9, the holding signed agreements on granting options to holders of 25.1% and 10% of blocks of shares. Under its terms, the current shareholders of the company will have the right to completely sell their shares to REX Global.
Mr. Martynov told RBC that Yota Devices had been looking for an investor for a year and a half. At the first stage, REX Global will invest $ 50 million in the Russian smartphone manufacturer. These funds will go “to release the product line and YotaPhone 3,” he said.
REX Global invests in real estate, entertainment, games and many other areas. The holding is traded on the Hong Kong Stock Exchange (ticker - 164). Revenues for the fiscal year 2015, which ended March 31, amounted to 80.5 million Hong Kong dollars (about $ 10.3 million at the exchange rate on October 21). The company's capitalization amounted to 1.927 billion Hong Kong dollars (about $ 250 million) as of October 21.
According to Martynov, REX Global has established contacts in the telecom market in China and in Asia as a whole, which is important for Yota Devices, since China is the most promising market for the company.
The Chinese holding “has long been looking for an opportunity to enter the smartphone market,” Martynov said. According to him, Yota Devices will be able to become a platform for building such a business in the holding.
An official statement of October 19, 2015 states that the Chinese holding acquired Telcoet Capital Limited Partnership, which is a third party, shares in Yota Devices . Other shares of the company remain with the previous owners - Rostec state corporation (25.1%) and company management (10%), including Yota Devices CEO Vladislav Martynov.
After the deal, investors valued Yota Devices at about $ 154 million.
On October 8 and 9, the holding signed agreements on granting options to holders of 25.1% and 10% of blocks of shares. Under its terms, the current shareholders of the company will have the right to completely sell their shares to REX Global.
Mr. Martynov told RBC that Yota Devices had been looking for an investor for a year and a half. At the first stage, REX Global will invest $ 50 million in the Russian smartphone manufacturer. These funds will go “to release the product line and YotaPhone 3,” he said.
REX Global invests in real estate, entertainment, games and many other areas. The holding is traded on the Hong Kong Stock Exchange (ticker - 164). Revenues for the fiscal year 2015, which ended March 31, amounted to 80.5 million Hong Kong dollars (about $ 10.3 million at the exchange rate on October 21). The company's capitalization amounted to 1.927 billion Hong Kong dollars (about $ 250 million) as of October 21.
According to Martynov, REX Global has established contacts in the telecom market in China and in Asia as a whole, which is important for Yota Devices, since China is the most promising market for the company.
The Chinese holding “has long been looking for an opportunity to enter the smartphone market,” Martynov said. According to him, Yota Devices will be able to become a platform for building such a business in the holding.