Press releases 2006

13 February 2006

LONDON STOCK EXCHANGE WELCOMES COMSTAR TO ITS MAIN MARKET

Second largest IPO by a Russian company on the London Stock Exchange

Comstar, the fixed-line telecommunications subsidiary of Sistema, was today admitted to the London Stock Exchange’s Main Market.

At US$1.06 billion, the Offering is the second largest Russian IPO on a public market anywhere in the world after Sistema’s initial public offering on the Main Market in February 2005 (US$1.56 billion).

A total of 24 companies from the CIS are listed and traded on the Main Market. In January 2006 the Exchange’s member firms traded a record $14.8 billion of Russian securities, an increase of 328 per cent on the same period last year. Trading in Russian securities represented around 69 per cent of the total trading volume on the International Order Book (IOB) in January 2006.

To celebrate the occasion, Semyon Rabovsky, CEO of Comstar, today opened the London Stock Exchange’s markets by switching on ‘The Source,’ a specially commissioned artwork in the main atrium of the London Stock Exchange’s new building in Paternoster Square.

Clara Furse, Chief Executive of the London Stock Exchange, said:

“We are delighted that Comstar has chosen London for its listing outside Russia. As the world’s most international market London offers Comstar access to investors from across the world. We hope to see many more Russian companies join those already listed and traded here.”

In 2005, the London Stock Exchange attracted a record 139 international companies, from 29 countries, to its Main Market and AIM.

Deutsche UFG, Goldman Sachs International and Renaissance Capital acted as financial advisors and joint bookrunners for the combined Russian and international offering.

For further information, please contact:

Anya Velzeboer Press Office +44 (0)20 7797 1222
newsroom@londonstockexchange.com