Mobile TeleSystems : MTS issues RUB 15 bn in Bonds - Form 6-K

MTS issues RUB 15 bn in Bonds

December 15, 2022

MOSCOW, Russia - Mobile TeleSystems Public Joint Stock Company ("MTS" or "the Company") (MOEX: MTSS), a leading provider of digital and media services and Russia's largest mobile operator, announces that it has completed the book building of its RUB 15 bn in exchange-traded series 001P-23 bonds with a maturity of two years and a coupon rate of 8.40%. The technical placement of the bonds is planned for December 21, 2022, on Moscow Exchange (MOEX).

The nominal price of the bonds is set at RUB 1,000, the coupon period at 91 days, and the price of placement at 100% of the nominal value.

The book building held on December 14, 2022 saw robust demand and, as a result, the coupon was reduced three times from an initial rate of 8.65% to a final fixed rate of 8.40%.

Alexander Smirnov, Corporate Finance & Treasury Director, commented: "After a short pause at the beginning of 2022, over the past seven months, MTS Group has placed six new issues of ruble bonds with a total volume of RUB 72 bn, which confirms the stably high interest of Russian investors in our bonds. The high assessment of the company's credit quality by investors allows us to maintain optimal risk premium levels above the base curve".

The bonds are planned to be included in MOEX's Level I Quotation List, with a credit rating expected from the Expert RA and NCR (National Credit Ratings) agencies. BCS Global Markets, Veles Capital, Credit Bank of Moscow, Russian Agricultural Bank, Sinara Investment Bank, JSC IFC Solid, and MTS Bank served as arrangers and Bank GPB (JSC) as the placement agent.

MTS intends to use the funds for general corporate purposes and optimization of its debt portfolio.

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For further information, please contact in Moscow:

Investor Relations Department

Mobile TeleSystems Public Joint Stock Company

Tel: [phone]

E-mail: [e-mail]

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Mobile TeleSystems Public Joint Stock Company ("MTS" - MOEX: MTSS) is Russia's largest mobile operator and a leading provider of network-native digital services. The company offers a full range of solutions for consumers and business customers across wireless and wireline connectivity; over-the-top, linear, and satellite television; digital-first banking and financial services; as well as unified communications, cloud computing and IoT. There are more than 88 million mobile subscribers using MTS services across the company's operations in Russia, Armenia, and Belarus, including around 80 million subscribers in Russia alone. In addition, MTS has a nationwide network of more than 5,400 owned and franchised retail outlets in Russia, and provides nearly 10 million clients with broadband, TV, and/or fixed-line telephone connectivity, over 10 million users - with OTT and pay TV services. The number of ecosystem clients exceeds 12 million and MTS Bank client base is over 3 million. MTS is majority-owned by Sistema PJSFC, a publicly-traded Russian investment company. MTS's shares are listed on the Moscow Exchange under the ticker MTSS. For more information, please visit the company's Investor Relations website at ir.mts.ru.

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