OCTOBER 1ST, 2015
Aeroflot will not extend tender offer to acquire Transaero stake
MOSCOW, 1 OCTOBER 2015 — The Board of Directors of PJSC Aeroflot (Moscow Exchange ticker: AFLT) has been informed that Transaero shareholders, who previously submitted a tender offer to Aeroflot, have not submitted a proposal for the purchase by Aeroflot of a stake of 75% plus one share in Transaero within the deadline stipulated in the tender offer.
The Board of Directors also reviewed a progress report on measures undertaken to restructure Transaero during September 2015.
While disruptions in the civil aviation market and social tensions among Transaero employees have been avoided, the Board of Directors noted this and decided not to extend the terms of the tender offer from Transaero shareholders that the Board of Directors considered on 3 September.
The Board therefore directed Aeroflot’s management to ensure that Transaero fulfils its obligations to passengers, and also to minimise any negative social consequences for Transaero staff.
The Board of Directors also granted permission to Aeroflot’s management to use PJSC Aeroflot’s own funds to stabilise Transaero within established limits.
Aeroflot CEO Vitaly Saveliev said: «Aeroflot undertakes that all obligations to Transaero’s passengers will be fulfilled. Passengers will be guaranteed transportation or a refund in the event that a flight is cancelled».