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Statement re SISTEMA AND MARSHALL GROUP SIGN AGREEMENTS TO ACQUIRE A 38.75% STAKE IN NVISION GROUP

January 22, 2014

MOSCOW --(BUSINESS WIRE)-- Sistema JSFC (“Sistema” or the “Company”) (LSE: SSA), the largest publicly-traded diversified holding company in Russia and the CIS, today announces that its wholly owned subsidiary, Sistema Telecom Assets LLC , has signed legally binding agreements to acquire a 38.75% stake in CJSC NVision Group with CJSC RegionKapital (part of Marshall group, one of Russia’s private investment groups) and several other individual shareholders. The total value of the deal amounts to US$ 82.5 million , US$ 37.5 million of which will be paid in cash, and US$ 45 million in Sistema shares. Upon completion of the deal, Sistema’s ownership in CJSC NVision Group will amount to 88.75%. The deal is in line with Sistema’s strategy to develop information and communication technology assets. The completion of the transaction is subject to the fulfillment of a number of legal conditions and is expected in the first quarter of 2014. *** For further information, please visit www.sistema.com or contact: Investor Relations Public Relations Evgeniy Chuikov Ekaterina Tsukanova Tel: +7 (495) 692 1100 Tel.: +7 (495) 228 1536 ir@sistema.ru pr@sistema.ru Public Relations of Marshall +7 (916) 534 0036 marcap@m-p.ru Sistema is the largest publicly-traded diversified holding company in Russia and the CIS, which invests in and is a major shareholder of companies serving over 100 million customers in the sectors of telecommunications, high technology, oil and energy, radars and aerospace, banking, retail, mass-media, tourism and healthcare services. Founded in 1993, the Company reported revenues of US$ 9.3 billion for the third quarter of 2013, and total assets of US$ 44.4 billion as at September 30, 2013 . Sistema’s global depository receipts are listed under the symbol “SSA” on the London Stock Exchange . Sistema’s ordinary shares are listed under the symbol “AFKS” on the MICEX-RTS Stock Exchange . Sistema was ranked number 315 in the 2012 edition of the Fortune Global 500 list. Website: www.sistema.com The Company is not an investment company, and is not and will not be registered as such, under the U.S. Investment Company Act of 1940. Marshall is one of the largest Russian private investment groups. The company manages direct investment funds in Russia and the CIS. The company’s main sectors of investments include telecommunications, media and technology, as well as real estate and agriculture. Marshall also supports the Charity Fund of Saint Vasily the Great, as well as a number of other cultural and social responsibility projects. Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of Sistema. You can identify forward looking statements by terms such as “expect,” “believe,” “anticipate,” “estimate,” “intend,” “will,” “could,” “may” or “might” the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia , rapid technological and market change in our industries, as well as many other risks specifically related to Sistema and its operations. This document does not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any shares or other securities of JSFC Sistema and/or any of its subsidiaries and affiliated companies, nor shall any part of it nor the fact of its distribution form part of or be relied on in connection with any contract or investment decision relating thereto, nor does it constitute a recommendation regarding the shares or securities of JSFC Sistema and/or any of its subsidiaries and affiliated companies. JSFC Sistema Source: JSFC Sistema


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