Corbina Telecom made the decision following the company's plans to offer interactive television services within its network, Golden Telecom (GT) said in a news release.
"Considering the vast development potential of this business, Corbina Telecom and Golden Telecom have agreed to hold an IPO for Corbina in Moscow, London or New York by the end of 2008, depending on the market situation and permission from regulators," the news release said.
Last November Corbina signed a deal with Microsoft to provide interactive television services based on Microsoft's IPTV platform.
Founded in 1995, Corbina is a leading broadband Internet service provider, which already covers 2.4 million households among Moscow's population of 11 million and has expanded to 24 Russian provinces.
Golden Telecom signed February 27 an agreement to buy 51% in Cortec, Corbina's owner. The deal was signed with Cyprus-based Inure Enterprises Ltd. and Rambert Management Limited. Inure holds 99% in Cortec and is co-owned by financier Alexander Mamut and Renova Capital, which belongs to aluminum and oil tycoon Viktor Vekselberg.
According to the deal, Golden Telecom will gain a controlling stake in Cortec and its subsidiaries in exchange for $10 million, and additional GT shares expected to equal the value of 8% of the total shares on the day the deal is closed.
Golden Telecom provides integrated telecommunications and Internet services in major cities across Russia and other former Soviet nations. Its major shareholders are Altimo (29%), Telenor (20%), and Rostelecom (11%).
