Mobile TeleSystems Public Joint Stock : MTS Announces Board Decisions (Form 6-K)

MTS Announces Board Decisions

August 27, 2021

MOSCOW, Russia - Mobile TeleSystems PJSC ('MTS' or 'the Company') (NYSE: MBT; MOEX: MTSS), Russia's largest mobile operator and a leading provider of media and digital services, announces decisions taken by the Company's Board of Directors ('BoD' or 'the Board').

During a meeting on August 26, 2021, the Board reached the following decisions:

·	To specify the agenda for the Extraordinary General Meeting of Shareholders ('the EGM') scheduled for September 30, 2021 by incorporating the following sub-items into the voting item concerning reorganization of MTS:

o	The separation of the Company's passive infrastructure (towers and related assets) into a wholly-owned subsidiary, Tower Infrastructure Company LLC ('TIC').

o	The separation of a significant share of the Company's active network and digital infrastructure (fixed-line, data center, and cloud computing) into a wholly-owned entity, MWS-1 LLC.

o	The follow-on integration of MWS-1 LLC into the Company's existing wholly-owned subsidiary MTS Web Services JSC ('MWS').

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As provided for under Russian regulations concerning voting on matters of reorganization, the Board also decided that owners of MTS ordinary shares voting against the above items or those who abstain from voting will be eligible to submit their shares for repurchase at the price of RUB 326.73 per ordinary share, based on the weighted average trading price over the six months prior to the Board's decision to call for the EGM.

·

In addition, the Board approved amended versions of the Board's Regulations on the Audit Committee; Remuneration & Nomination Committee; Strategy Committee; Committee on Corporate Governance and Environmental & Social Responsibility (ESG); Special Committee on Compliance Matters; and Special Project Committee for Co-locating Moscow-based Employees in a Unified Office Space.

Additional materials related to the EGM will be published by August 30, 2021 on the MTS Investor Relations website at:

http://ir.mts.ru/about-mts/corporate-governance/shareholders-meeting/

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For further information, please contact in Moscow:

Investor Relations Department

Mobile TeleSystems PJSC

Tel: [phone]

E-mail: [e-mail]

Learn more about MTS. Visit the official blog of the Investor Relations Department at www.ir.mts.ru/ir-blog

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Mobile TeleSystems PJSC ('MTS' - NYSE: MBT; MOEX: MTSS), Russia's leading mobile connectivity and digital services provider, offers a range of mobile, fixed-line, and digital services. We serve over 80 million mobile subscribers in Russia, Armenia, and Belarus, and about 9 million customers in Russia of fixed-line services, including fixed voice, broadband internet, and pay-TV. To keep pace with evolving customer demand, MTS is redefining what telecommunications services are by offering innovative products beyond its core network-related businesses in various tech segments, including Big Data, financial and banking services, internet of things, OTT, cloud computing, systems integration and e-commerce. We leverage our market-leading retail network as a platform for customer services and sales of devices and accessories. MTS maintains its leadership in the Russian mobile market in terms of revenue and profitability. MTS is majority-owned by Sistema PJSFC. Since 2000, MTS shares have been listed on the New York Stock Exchange and since 2003 - on the Moscow Exchange. For more information, please visit: www.ir.mts.ru.

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Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of MTS, as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify forward looking statements by terms such as 'expect,' 'believe,' 'anticipate,' 'estimate,' 'intend,' 'will,' 'could,' 'may' or 'might,' and the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not undertake or intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. We refer you to the documents MTS files from time to time with the U.S. Securities and Exchange Commission, specifically the Company's most recent Form 20-F. These documents contain and identify important factors, including those contained in the section captioned 'Risk Factors' that could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, the severity and duration of current economic and financial conditions, including volatility in interest and exchange rates, commodity and equity prices and the value of financial assets; the impact of Russian, U.S. and other foreign government programs to restore liquidity and stimulate national and global economies, our ability to maintain our current credit rating and the impact on our funding costs and competitive position if we do not do so, strategic actions, including acquisitions and dispositions and our success in integrating acquired businesses, potential fluctuations in quarterly results, our competitive environment, dependence on new service development and tariff structures, rapid technological and market change, acquisition strategy, risks associated with telecommunications infrastructure, governmental regulation of the telecommunications industries and other risks associated with operating in Russia and the CIS, volatility of stock price, financial risk management and future growth subject to risks.

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