Russian mobile phone operator MTS has announced it has purchased additional shares issued by parent MTS Bank to acquire a 25.1% stake in MTS Bank in a 5.1 billion roubles deal.

The deal was finalized in accordance with the terms of an indicative offer announced in October last year. The terms of the offer were made between MTS Bank and MTS, along with Sistema, their majority Sistema.

MTS said in a statement that it currently holds around 27% of outstanding shares in MTS Bank while shareholder Sistema holds 65.3 percent stake. Other minority shareholders hold the balance of shares, MTS added.