Kapsch TrafficCom AG (ISIN AT000KAPSCH9) listed on the Vienna Stock Exchange in the prime market segment announces that LLC Kapsch TrafficCom Russia has withdrawn from the joint venture OOO United Toll Systems (UTS). UTS is the joint venture that was awarded a contract for maintenance of the toll-based operation of the Russian M-4 Don motorway in December 2011. Kapsch TrafficCom Russia held a share of 33.3 percent in this joint venture. The joint venture partner Mostotrest takes over these shares in UTS. The deal will amount to EUR 6 million and is expected to close by the end of 2012.

The decision was made for reasons of company strategy says Michael Weber member of the Board at Kapsch TrafficCom Russia. “Kapsch is an experienced supplier of Intelligent Transportation Systems (ITS). Our primary focus is therefore not the operation of roads but to build and operate advanced toll systems and ITS solutions. Consequently we want to continue to concentrate on other strategic projects and ITS opportunities in Russia such as city access solutions other toll projects and the upcoming tender for a national toll system” explains Weber. General Director of Mostotrest Vladimir Vlasov adds: “We are pleased that Kapsch TrafficCom Russia is remaining our partner in providing consulting services and technical support for the project’s implementation.”

New leadership for Kapsch Russia

“The Russian market has great potential in our field of business” emphasizes Erwin Toplak COO of Kapsch TrafficCom. “We are looking forward to further cooperation in providing products solutions and services for Russian road concessions in general and UTS in particular. We will therefore focus our efforts in order for our local organization to be ideally positioned for upcoming projects in Russia which are very demanding of resources.” As part of this effort Boris A. Borisov was appointed the new CEO of Kapsch TrafficCom Russia on 1 June 2012. Borisov previously held leadership positions at Motorola and General Electric as well as a number of local companies.

For more information please contact Marcus Handl – Investor Relations Officer.                                            

Link to original Article

http://www.ertico.com/kapsch-sells-its-share-in-russian-joint-venture/

Original Publication Date: Mon 12 Nov 2012