Rus News Journal

Investment funds have guided directories

Fund Quadriga Capital Russia (invests including means of the European bank of reconstruction and development - the European Reconstruction and Development Bank) has got at TPG Capital the company Euro - the Address - one of three largest publishers of telephone directories in Russia. The transaction consisted in the end of the year when liquidity crisis did not affect yet the advertising market. The forecast for 2009 made the publisher Russian Yellow pages Kontakt East Holding, provides 30 - percentage falling of advertising incomes of directories.
about change of the proprietor of the publisher of telephone directories Euro - the Address it is told on a company site. Since 2001 till autumn of 2008 a group of companies Euro - the Address entered into holding Interinfo belonging TPG. In connection with the termination of reinvestment cycle TPG has sold Euro - the Address to fund Quadriga Capital Russia. The director of Moscow office Quadriga Capital Michael Katsnelson has confirmed that fund closely works with Euro - the Address having refused to specify transaction details. In Euro - the Address yesterday have refused to connect to general director Sergey Suharevym.

Created in 1993 of Joint-Stock Company Euro - the Address lets out 31 adresno - a telephone directory in Moscow, Petersburg, Arkhangelsk, Vologda, Petrozavodsk and other cities. The general declared circulation - 680 thousand copies. Staff - more than 600 persons.

Quadriga Capital has begun investment activity in Russia in 1995 on European Reconstruction and Development Bank means. Then the co-chairman of the advisory council which was carrying out control over activity of fund, Vladimir Putin, at that point in time - the first vitse - the mayor of Petersburg was. Among current projects - the manufacturer of computer games Akella ATV Prodakshn Travel agency Neva the provider Tasky . The Total sum of means under management - $197 million

Euro - the Address - one of three largest publishers of telephone directories in Russia, marked letting out in Russia Yellow pages Swedish Kontakt East Holding (KEH) in 2007 in the prospectus dopemissii. One more large player KEH names the company Svyazinvest - media letting out production also under a brand Yellow pages . The volume of all market of directories holding has estimated in 2007 in $77 million and in 2008 in $87 million Advertising gathering similar online - services, according to KEH, in 2007 have reached $9 million, the forecast for 2008 - $12 million

the Head of a direction of directories ID ekstra M of Media (publishes the Big telephone directory) Alexey Razhev estimates a gain Euro - Addresses Last year a maximum in 150 million rbl. In its opinion, Quadriga Capital has paid Euro - to the Address floor price as TPG long could not find the buyer on this active.

the edition of telephone directories in Russia involves financial investors. Along with TPG and Quadriga Capital the Swedish company Vostok Nafta has enclosed the means in this market and spetsializirujushchaja on investments into the CIS countries. In 2006 she has bought its Russian business from Swedish ID Eniro International, has created on its basis KEH and then has spent it IPO, proceeding from an estimation of all business in 30 million However as spring of last year Vostok Nafta recognised IPO as unsuccessful, having initiated delisting KEH (see from May, 27th, 2008). Following the results of 2007 gain KEH has made $19,8 million, dead loss - $5,5 million

the Worst scenario for 2009 provides zero profitability KEH, thus for a basis is taken 30 - percentage falling of advertising incomes. Other publishers are adjusted more optimistically. small business does not refuse advertising in directories, - Alexey Razhev tells. - the Main thing now - to find replacement to big clients who have reduced the budgets .