Dealings in the Cypriot company’s securities have commenced early this morning under the ticker symbol “TNW”.  Metropol (UK) Limited, a London-based affiliate of IFC “Metropol”, has been retained as Teleset Networks’s nominated AIM broker.

Teleset Networks is a leading independent fixed-line telephony and internet service provider in the city of Kazan.  The company’s subscriber base consists of almost 75,000 residential and corporate customers located in the capital of the Republic of Tatarstan.  Over the last 8 years, the shareholders of Teleset Networks have invested approximately $23 million in state-of-the-art digital telecom equipment and modern fibre-optic cable infrastructure spanning the city.  A long-term commitment provided to the company by its shareholders, management and employees has enabled it to capture around 20% of the local fixed-line telephony market and become the second largest, after Tattelecom, telecom operator in Kazan.

Financial results of the company during the last few years indicate it enjoys high operating margins and has effective cost control systems in place.  According to the company’s audited financial statements for 2005, Teleset Networks had revenues and net profit of $9.5m and $2.5m, respectively.

Admission of the company’s shares to AIM is intended to facilitate the implementation of an ambitious investment programme, which includes introduction of new services and increasing the market share in Tatarstan and its neighbouring regions.

By introducing Teleset Networks shares to AIM, Metropol continues the successful development of its long-term strategy of utilizing AIM to promote smaller fast-growing companies with assets in the CIS countries, which require access to reasonably priced capital in order to support their expansion.  Previously, Metropol (UK) Limited assisted in the IPO of 27.2% of Ukrproduct’s shares, which took place at the beginning of 2005 and resulted in the Ukrainian dairy producer’s raising around $10m in new investment.  In December 2005, Metropol acted as AIM broker to Zirax, a speciality chemicals manufacturer, and raised over $13m to fund the company’s investment projects.

Further information is available at the following address: Metropol (UK) Limited, tel. +44 (0)20 7439 6880, or at the press office of IFC “Metropol”, tel. +7 095 933 3310.