Etalon Group Limited (“Etalon Group” or the “Company”), one of Russia’s largest and longest-established development and construction companies, has completed the procedure of moving its domicile from Guernsey to Cyprus. The change of domicile was approved by an Extraordinary General Meeting of shareholders (EGM) held on 15 December 2016 at Redwood House, St Julian’s Avenue, St Peter Port, Guernsey.
As a result of the re-domicile, Etalon Group has migrated from Guernsey, and its name has been removed from the Guernsey Register of Companies.
The Company is now registered in Cyprus under the name ETALON GROUP PUBLIC COMPANY LIMITED with registration number HE 368052 and registered office at Arch. Makariou III Avenue, 2-4 Capital Centre, 9th floor, 1065, Nicosia, Cyprus.
The Board of Directors of the Company recommended that shareholders approve the change of domicile after considering changes to legislation in the countries where Etalon Group operates, and in line with ongoing efforts to strengthen further the Company’s corporate governance and optimise overhead costs. Following a comprehensive assessment of the legal and tax implications of the re-domicile, the Company understands that investors’ rights and protections will be unaffected by the change, that London Stock Exchange listing rules will continue to apply, and that there will be no impact on Etalon Group’s global depositary receipt (“GDR”) programme (including no requirement to exchange GDRs).
Etalon Group IR Team
T: +44 20 8123 1328
T: +44 7554 993 032
T: +7 499 918 3134
About Etalon Group
Founded in 1987 by Viacheslav Zarenkov, Etalon Group has become one of Russia's largest development and construction corporations. The Company focuses on middle class residential real estate in the Moscow and St. Petersburg metropolitan areas, where it operates through Etalon Invest and LenSpetsSMU subsidiaries. With a 29-year history, Etalon Group has one of the longest and most successful track records in the Russian real estate industry - since its inception, Etalon Group has commissioned 5.4 million sqm.
Etalon Group's strong reputation among consumers supports its pre-sales business model, which helps the Company to minimise external financing needs for on-going projects while maintaining a secure liquidity position: net debt as of 31 December 2016 was RUB 7.8 billion.
The Company is vertically integrated, which helps it to control costs, quality and timing, as well as to demonstrate best-in-class profitability. Etalon Group employs 5,000 people, and its nationwide sales and marketing network covers 49 Russian cities.
As of 31 December 2016, Etalon Group's portfolio comprised 35 projects, with a total of 2.82 million sqm of unsold net sellable area. JLL valued this portfolio at RUB 115,818 million.
For the year ended 31 December 2016, Etalon Group's new contract sales totalled 496 ths sqm, or RUB 47,443 million. Deliveries in 2016 amounted to 420 ths sqm.
The Company recorded revenue of RUB 49.0 billion and EBITDA of RUB 7.3 billion for the year ended 31 December 2016.
Etalon Group Limited's GDRs have been traded on the Main Market of the London Stock Exchange since 20 April 2011.
12 April 2017