Golden Telecom Acquires the Alternative Operator in BryanskTel

Golden Telecom, a provider of integrated telecommunications and internet services in Russia and the Commonwealth of Independent States, has completed the acquisition of 100% of ZAO BryanskTel and 100% of OOO BryanskIntel, which together form Group BryanskTel, for cash consideration of approximately $5.5 million.

In 2007, BryanskTel’s revenues grew by approximately 50%. BryanskTel operates its own network which covers more than a half of the potential broadband users in Bryansk. The acquisition of BryanskTel will enable Golden Telecom to provide a full range of communication services to its clients in the region. Bryansk becomes the 25th region in Russia where Golden Telecom operates zonal networks, reinforcing Golden Telecom’s leading position as the largest zonal operator in Russia and one of the top players on the domestic and international long-distance market.

Jean-Pierre Vandromme, CEO of Golden Telecom, said: “Through the acquisition of BryanskTel, Golden Telecom enters a new and highly promising region. We will offer the same range of products and services to our existing clients and the local businesses. The acquisition also perfectly fits in our ‘Triple-65 project’ implemented together with Corbina Telecom. We plan to continue further development of a Fiber-to-the-building network in Bryansk in 2008 following our strategy for providing broadband access and Triple-Play services in growing regional markets.”