RDIF, Alibaba Group, Ant Group-backed Alipay, MegaFon and Mail.ru Group completed Joint Venture transaction.

Russian Direct Investment Fund, a Russia’s sovereign wealth fund, Alibaba Group, a global digital commerce company, Ant Group-backed Alipay, MegaFon, a pan-Russian operator of digital opportunities and Mail.ru Group, internet and IT company in Russia, completed the joint venture transaction. Alibaba Group has invested $100m; MegaFon has sold its 9.97% economic stake in Mail.ru Group to Alibaba Group in exchange for a 24.3% stake in the AliExpress Russia JV; Mail.ru Group has contributed its Pandao e-commerce business and cash investments of $182m for a 15.0% stake; RDIF has invested $100m into the AliExpress Russia JV and may further acquire additional shares of the joint venture from Alibaba Group for $194m. “This landmark partnership will bring both significant benefits to customers and create unprecedented opportunities for services growth. RDIF continues to support the acceleration of the digital transformation of the Russian economy through the expansion of the e-commerce market. Bringing together the expertise of the companies at the forefront of social commerce and global retail opens a new era for the Russian market,” Kirill Dmitriev, Russian Direct Investment Fund CEO.