LSR Group announces completion of the additional share issue placement

OJSC LSR Group (LSE: LSRG; MICEX, RTS: LSRG) announces the completion of additional ordinary registered book-entry share placement, registered in FFMS of Russia under unified state registration number 1-01-55234-Е-002D on 8 April 2010, placed by open subscription.

The total number of shares to be placed was 16,042,508 shares, with a par value of RUR 0.25.

The placing price was set by the Board of Directors of OJSC LSR Group on 30 April 2010 at US$ 45.92 per share, the price for pre-emptive right holders was US$ 41.33 per share, which is 10% lower than the placing price for others.
 
One application was received under the additional share placement (using the pre-emptive rights of existing shareholders), and, therefore, the total amount of shares that was actually placed was 9,366,383 shares.

Please note that placing of the additionally issued ordinary registered book-entry shares of OJSC LSR Group is aimed at reinvestment of the proceeds, received from the Secondary Public Offering, announced this spring by LSR Group, into the company.

Note to Editors:
OJSC LSR Group is a real estate development and building materials company founded in 1993 and operating in a number of complementary market segments. Its core business areas are production of building materials, real estate development and panel construction.
LSR Group's main operations are located in St. Petersburg, Moscow, Yekaterinburg and Ukraine.
In 2009, the sales revenues of LSR Group were RUR 51,024 million (IFRS).
LSR Group is a public company, with its GDRs traded on the London Stock Exchange and its ordinary shares traded on MICEX and RTS.

For more details please contact:
LSR Group Press Service
Tel.: +7 812 314 10 44
Fax: +7 812 458 83 72
E-mail: press@lsrgroup.ru
www.lsrgroup.ru

Disclaimer:
Neither these materials nor any copy of it may be taken or transmitted into the United States, Australia, Canada or Japan. These materials do not constitute or form part of any offer or invitation to sell, or any solicitation of any offer to purchase nor shall it (or any part of it) or the fact of its distribution, form the basis of, or be relied on in connection with, any contract therefor. The offer and the distribution of these materials and other information in connection with the listing and offer in certain jurisdictions may be restricted by law and persons into whose possession any document or other information referred to herein comes should inform themselves about and observe any such restriction. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction.
These materials are not an offer for sale of any securities in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration under the U.S. Securities Act of 1933. The Company has not registered and does not intend to register any portion of any offering in the United States or to conduct a public offering of any securities in the United States.
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