OREANDA-NEWS. November 18, 2011. JSFC Sistema (“Sistema”) (LSE: SSA), the largest diversified public financial corporation in Russia and the CIS, announces that it has won an open auction to have the right to acquire a 100% stake in OJSC Donskoe from the State for RUB 476.5 million, reported the press-centre of Sistema.

The auction was held in accordance with a decree of the Federal Agency for State Property Management. Donskoe is located in the Rostov region of the Russian Federation and occupies 25.4 thousand hectares of land.

The acquisition of Donskoe is in line with Sistema’s strategy to enter new sectors. Completion of the acquisition remains subject to execution of the necessary documentation and completing the payment. It is anticipated that the deal will be closed in December, 2011.
 
Mikhail Shamolin, President and Chief Executive Officer of Sistema, commented: “Grain production costs in Russia are among the lowest in the world. Thus, export of grain in 2011 was the highest in the recent history of our country. We believe that our domestic agricultural sector has great potential.”