Russia's MegaFon Getting Ready for Managerial Transformation

Public Joint Stock Company “MegaFon”, a pan-Russian operator of digital solutions, Board of Directors has approved the list of nominees for election to the Board of Directors at an Extraordinary General Meeting of Shareholders (EGM).

The list comprises nine nominees, including two independent directors and two nominees from Gazprombank. The EGM to elect members of the Board of Directors of MegaFon will be held on 19 January 2018.

“The new challenges presented by greater competition and the need for MegaFon’s technological transformation require changes in the management structure and greater involvement by the controlling shareholder in the Company’s operations. The current Board of Directors saw one of its main objectives as developing a new long-term development strategy for the Company, which was approved earlier this year. A new composition of the Board of Directors will focus on implementation of the strategy and boosting the Company’s operational efficiency.

The nominees for the Board of Directors from USM Holdings have extensive experience of corporate governance and have already long been involved in the Company’s development. The involvement of representatives of Gazprombank and new independent directors in the Board of Directors’ work will mean the application of international best practices and also experience from business adjacent to telecom.

I am confident that the new Board of Directors will ensure efficient implementation of the Company’s strategy in the interests of all shareholders,” commented, Streshinsky, Chairman of the Board of Directors of MegaFon and a member of the Board of Directors of USM Holdings.

“This year Gazprombank became a shareholder in MegaFon and, as the owner of 18.8% in the Company, nominated two representatives to the Board of Directors. We are hoping for long-term fruitful cooperation and effective work by the Board of Directors in the best interests of MegaFon and its shareholders,” commented Alexey Matveev, Deputy Chairman of the Management Board of Gazprombank.