Group “Stink” has increased the share in the largest operator of outdoor advertising Russ Outdoor from 48.57% to of 73.57%, buying a quarter of the French company JCDecaux. The Federal Antimonopoly service (FAS) approved the deal a year ago. The outdoor advertising market increasingly konsolidiruyutsya — part of Russ Outdoor previously included the major operators, “Laysa” and “Belief-the Olympus”.JCDecaux, the French withdrew from the shareholders of the group Russ Outdoor, RBC reported with reference to sources and Executive Director of the group Robert Mirzoyan. JCDecaux sold belonged to her 25% of Russ Outdoor LLC “Stink”, which in October 2019 consolidated 48,57% of the company. Thus, a new transaction share of the LLC has grown to of 73.57%. Even 26,43% Russ Outdoor still belong to “VTB Capital”. Representative Russ Outdoor confirmed to Kommersant the fact of the transaction.In JCDecaux “Kommersant” confirmed the exit from the asset. “After the withdrawal of minority shareholders from the head of the structure of Russ Outdoor in October last year and given the uncertainties surrounding the consolidation of the Russian media market after Covid-19, JCDecaux received the opportunity to go at a price of 2.56 billion rubles, i.e., 32 million euros,”— said the representative of the company. Thus, the whole company as part of the transaction was estimated at 10.24 billion RUB LLC “Stink,” according to “SPARK-Interfax”, with a December 2017 belongs to Gregory Sadoyan, but the actual owners of the company are Levan and Robert Mirzoyan, and Bekhan Barakhoev, says RBC.JCDecaux is the world’s largest operator of outdoor advertising. The company entered the Russian market in 2006, her first in a joint venture with Czech BigBoard Group belonged to the operator of outdoor advertising BigBoard, then JCDecaux has bought 25% of Russ Outdoor in “VTB Capital” and business BigBoard became Russ Outdoor.”Group of companies “Sten” will receive a controlling stake, thereby continuing the consolidation of the outdoor advertising market in Russia”,— said the press service of Russ Outdoor. It specified that the transaction was approved by the FAS a year ago — July 24, 2019. The FAS confirmed it.Even earlier, in April of 2019, the “Belief-the Olympus”, the owners of which is “Stin” acquired company “Laysa”, a promotional partner of the Russian Railways. All three brands are now working in the group Russ Outdoor, that is her business actually been combined with two major competitors.According to its own data group, including all its businesses, Russ Outdoor owns more than 23 thousand advertising surfaces of the basic formats in 37 cities of Russia. According to “SPARK-Interfax”, the proceeds of the operating company group LLC “Russ Outdoor” at the end of 2019 amounted to 5.5 billion rubles., net loss of 469 mln rubles according to “Kommersant” on 14 July, previously LLC “Russ Outdoor” abandoned the moratorium on the bankruptcy by creditors ‘ claims, which, in particular, imposed on the company restrictions on conduct of large transactions.The outdoor market was greatly affected by the restrictions associated with the coronavirus. In April and may, market participants estimated the fall in revenue in the 70-90% year-on-year. According to the Association of communication agencies of Russia, in the first quarter the volume of outdoor advertising market remained at last year’s level of 11 billion rubles Valery Lebedevka the fifth advertising Agency in the country has reduced some of the staff because of falling advertising market, the survey of the Association of communication agencies of Russia (ACAR). The most popular measure to reduce costs among agencies was a reduction of rental payments — this technique is used by 71% of respondents.Read more
