The Russian Direct Investment Fund (RDIF, Russia's sovereign wealth fund), Mail.ru Group, USM, Ant Group and MegaFon today announced that they have signed binding agreements to create a payments joint venture (PJV) and a financial services joint venture (FSJV), Mail.ru Group informed.
The JVs will jointly provide digital payment solutions and financial services.
Mail.ru Group's contribution into the PJV will amount to RUB 4.5 billion in assets consisting of a 100% stake in non-bank settlement credit institution Money.Mail.Ru (LLC) and VK Pay payment system. The two assets will continue being used as financial and payment instruments within the company's ecosystem. Mail.ru Group will be the largest shareholder in the PJV with a 40% stake.
Mail.ru Group's contribution into the FSJV will be RUB 870 million in cash in exchange for a 5.95% stake in the FSJV.
USM's contribution into the FSJV will include a 100% stake in ASK Renessans, a 100% stake in Round Bank, a 100% stake in InPlat, other assets and cash.
Other shareholders including RDIF, Ant Group and MegaFon will contribute cash, assets or a combination of cash and assets into the FSJV and PJV.
The deals are expected to close in 2021 after satisfying a number of conditions including third party approvals. Upon completion, Russian shareholders will own the majority stakes in both the PJV and FSJV.
In 2019, the parties signed non-binding term sheets in 2019 and announced a partnership to promote financial inclusion in Russia.
