Page 136 - RusRPTJan21

9.1.7​ TMT sector news
Russia has started building high-speed internet infrastructure in the Arctic ​to be used by large ports and oil and gas companies, the Federal Sea and River Transportation Agency (Rosmorrechflot) ​announced​ Wednesday last week. The trans-Arctic underwater fiber optic cable will stretch across 10,000 kilometers from the northwestern port of Murmansk to the Pacific port of Vladivostok. Rosmorrechflot partnered with the Transportation Ministry and state-run port infrastructure firm Rosmorport to provide “local communication line access to the Arctic zone’s largest ports and localities.” The project also aims to “create a digital infrastructure for the production and transportation” of fossil fuels and “provide an alternative to satellite communications in northern latitudes.”
The Russian government will sell control in Channel One, but will receive a verified investor and a “golden share,” ​The Bell reported on December 23. The state will give up a controlling stake in Channel One, Russia’s biggest broadcaster and the main source of news for the bulk of the population. Russian President Vladimir Putin signed a decree on the additional issue of his shares on December 21, which will be sold to non-state shareholders. The stated purpose of the additional issue is the financial recovery of the channel, which has been in deep loss for at least 8 years, and its debts exceed RUB20bn ($265mn). VTB is already claiming the role of a new investor. Now the largest non-state co-owner of the channel is Yuri Kovalchuk's National Media Group. The share of the Russian Federation in JSC Channel One may be reduced to 34% by selling the additional issue of the channel's shares to non-state investors from the current controlling stake it owns. The state will retain the "golden share" of Channel One, which will allow it to control the adoption of important decisions - for example, the sale of large stakes to new shareholders. Channel One has been unprofitable since 2012. In 2019, it received a net loss of RUB4.1bn with RUB27bn of revenue. The channel's accounts payable at the end of 2019 amounted to RUB20.4bn.
136 ​RUSSIA Country Report​ January 2021 www.intellinews.com