Yandex Announces Acquisition of a Bank to Obtain a License

Rhea-AI Summary

Yandex (NASDAQ and MOEX: YNDX) has announced its acquisition of Acropol Bank for approx. RUB 1.1 billion (about $14.7 million) to secure a universal banking license. This acquisition is crucial for expanding Yandex's FinTech vertical and launching digital finance services.

Acropol Bank's assets are predominantly liquid, comprising cash and government bonds, with no offline branches. The transaction awaits approval from the Central Bank of Russia, for which Yandex applied on April 28, 2021.

Positive

• Acquisition of Acropol Bank enables Yandex to access a universal banking license.
• The transaction supports the launch of comprehensive digital finance products.
• More than 85% of Acropol's assets are highly liquid, reducing financial risk.

Negative

• None.

MOSCOW, RUSSIA and AMSTERDAM, NETHERLANDS / ACCESSWIRE / April 29, 2021 / Yandex (NASDAQ and MOEX: YNDX), one of Europe's largest internet companies and the leading search provider in Russia, today announced that it has entered into an agreement to purchase 100% of Acropol Bank.

The strategic rationale for the transaction is to obtain a banking license required to develop Yandex FinTech vertical and launch comprehensive digital finance products and services for our users and partners. As a result of the transaction, the company will receive universal banking license as well as broker, dealer, and depositary licenses.

The total consideration for the proposed transaction amounts to approximately RUB 1.1 billion (appx. $14.7 million), of which RUB 75 million (appx. $1 million) represents premium to the capital. More than 85% of Acropol's assets are represented by highly liquid instruments, including cash, government bonds as well as bonds and deposits of the Central Bank of Russia. Acropol doesn't have any offline branches.

The transaction is subject to regulatory approval by the Central Bank of Russia. Yandex applied for approval on April 28, 2021.

About Yandex

Yandex (NASDAQ and MOEX: YNDX) is a technology company that builds intelligent products and services powered by machine learning. Our goal is to help consumers and businesses better navigate the online and offline world. Since 1997, we have delivered world-class, locally relevant search and information services. Additionally, we have developed market-leading on-demand transportation services, navigation products and other mobile applications for millions of consumers across the globe. Yandex, which has more than 30 offices worldwide, has been listed on the NASDAQ since 2011 and on the MOEX since 2014.

More information on Yandex can be found athttps://ir.yandex/.

Contacts:

Investor Relations
Yulia Gerasimova
Phone: +7 495 974-35-38
E-mail: askIR@yandex-team.ru

Media Relations
Ilya Grabovskiy
Phone: +7 495 739-70-00
E-mail: pr@yandex-team.ru

SOURCE: Yandex N.V.

View source version on accesswire.com:
https://www.accesswire.com/643243/Yandex-Announces-Acquisition-of-a-Bank-to-Obtain-a-License

FAQ

What is Yandex's acquisition of Acropol Bank about?

Yandex has acquired Acropol Bank to obtain a universal banking license for its FinTech initiatives.

How much did Yandex pay for Acropol Bank?

Yandex paid approximately RUB 1.1 billion (about $14.7 million) for Acropol Bank.

What financial services will Yandex offer after acquiring Acropol Bank?

Yandex aims to launch a range of digital finance products and services for users and partners.

When did Yandex apply for regulatory approval for the acquisition?

Yandex applied for regulatory approval from the Central Bank of Russia on April 28, 2021.

What are Acropol Bank's main asset characteristics?

Over 85% of Acropol's assets are in highly liquid instruments, including cash and government bonds.