MTS – Russia’s largest mobile operator – is talking to fellow telecoms carriers about a possible merger as it bids to become one of the world’s biggest telecoms groups. Vladimir Yevtushenkov, chief executive of MTS’ parent company Sistema, told reporters yesterday that “there are talks,” although he did not name companies. Dow Jones Newswires claims he suggested they would feature among the world’s top ten mobile operators.

MTS has recently been linked with South Korean group KT as well as Telekom Austria. MTS is reported to be in the process of agreeing a deal with KT to buy its 80 percent stake in east Russia-focused New Telephone Co. Last year it was also rumoured that the Sistema Group was looking to buy Telekom Austria in a deal worth more than US$6 billion. International expansion for MTS would see it follow domestic rival VimpelCom, Russia’s second-largest carrier, which is trying to buy assets in Italy and North Africa for more than US$6 billion from Egyptian tycoon Naguib Sawiris. According to Wireless Intelligence, Sistema was the 14th largest mobile operator group (in terms of revenue and connections) as of end Q2 2010.