Mobile TeleSystems May Make $200 Million Savings With Comstar

OAO Mobile TeleSystems (MBT) said it may make savings of about $200 million after buying 51 percent of OAO Comstar United TeleSystems.

Ron Sommer, head of the telecommunications unit of Mobile Telesytems parent AFK Sistema, gave the figure when talking to reporters in Moscow today. Mobile TeleSystems this month completed its acquisition of the stake for 39.2 billion rubles ($1.34 billion).

Mobile TeleSystems, known as MTS, may achieve “over $300 million potentially” in synergies if it acquires all of Comstar by buying out minority investors, Sistema said in a presentation given to reporters today.

To contact the reporter on this story: Stephen Bierman in Moscow at sbierman1@bloomberg.net Maria Ermakova in Moscow at mermakova@bloomberg.net.

To contact the editor responsible for this story: Vidya Root in Paris at vroot@bloomberg.net

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