Investment fund belonging to former Megafon CEO Vermishyan buys 25% of IT infrastructure provider Selectel

MOSCOW. Dec 28 (Interfax) - The Tier 5 Investment Fund, founded by the former CEO of Megafon Gevork Vermishyan, acquired 25% of IT infrastructure provider Selectel, Selectel's press service told Interfax.

The parties did not disclose details of the transaction. A statement on the information disclosure website said that, because of the transaction, the share of the largest owner of Selectel LLC, LVL1 Management Ltd, decreased to 71.3% from 96.3%.

"The IT infrastructure sector is expected to grow exponentially as data volumes, processing and storage facilities grow. I have been closely watching Selectel's impressive growth. It is clear to us that the cloud services market is only gaining momentum, and we believe that Selectel is the best independent team in whose scaling we can take part," Vermishyan said.

"We will continue to follow our course in partnership with Gevork's [Vermishyan] team, which has extensive experience in the telecommunications market," Selectel CEO Oleg Lyubimov said.

Selectel is an IT infrastructure provider that provides cloud services based on its data centers in Moscow, St. Petersburg and the Leningrad region, as well as a partner data center in Novosibirsk. Registered in 2008 by VKontakte co-founders Lev Leviev and Vyacheslav Mirilashvili, the largest shareholder of Selectel LLC is their company LVL1 Management Ltd., with a share of 71.3%, while 3.7% belongs to the management of the LLC.