Russia’s MTS Acquires Controlling Stake in Blockchain Platform Factorin

Mobile TeleSystems, Russia’s largest mobile operator, together with the international venture capital firm Digital Horizon, announced the acquisition of 51% of the equity capital of Factorin for RUB 867 m, including a RUB 350 m cash-in investment to support the startup’s continued development.

Factorin is the developer and owner of an innovative blockchain-based platform for trade finance transactions with a focus on supply chain finance and invoice factoring.

The acquisition is aimed at expanding MTS Group’s portfolio of digital financial services for B2B clients.

Factorin’s innovative platform provides a comprehensive solution for supply chain financing by digitizing financial interactions between buyers, suppliers, and banks.

The platform provides factoring and other trade finance services for leading Russian retailers and their suppliers, including Magnit (Tander JSC) and Dixy Group as well as MTS’s own retail network (RTC).

In addition, MTS has concluded an option agreement providing for the Company to retain a call option to acquire the remaining equity in Factorin from the startup’s founders in the future. The Fast Mode