OREANDA-NEWS. January 13, 2010. Sistema was unable to conclude the sale of a 21.25% stake in Shyam Teleservices to the Russian government by the end of 2009, reported the press-centre of Sistema.

As the deal was budgeted for 2009, and currently does not appear in the company's budget for 2010, additional delays in concluding the sale are possible due to administrative reasons.  

View: While we expect the deal to take place in 2010, every delay means additional investments for Sistema. On our estimates, a 6 month delay would cost Sistema at least US300m in additional investments.  

Action: Sistema shares have significantly outperformed the MTS so far this year, and the failure to conclude this sale might trigger a correction in the stock.