6 November 2007 - Efes Breweries International N.V. today announced that EBI and Moscow Efes Brewery, EBI's operating subsidiary in Russia in which the Company effectively owns 90.9% share, will enter into a share purchase agreement with the intention to sell and transfer all shares currently owned by EBI in the Krasny Vostok Brewing Group, representing 92.9% of the voting shares of the KV Group, EBI's other operating subsidiary in Russia, for a sale price amounting to approximately 368 million USD as per the resolution of EBI's Supervisory Board.
The transaction will consolidate EBI's Russian business under MEB and is subject to necessary corporate and regulatory approvals, including anti-monopoly clearance.
MEB will finance the acquisition of the KV Group partially with the proceeds of the planned Ruble Bond issue, as approved by the Board of Directors of MEB and announced to the public on March 2nd 2007, whereby the balance is planned to be financed through a capital increase at MEB level, subject to necessary corporate approvals by MEB.
The funding transactions to effect this restructuring will not increase the overall net indebtedness of EBI.