A group said,&eThe new company that owns these assets will be named “E&PPF Telecom.”
She added, “This investment represents a pivotal point in E& International’s strategy towards expansion and adding more flexibility to its operational capabilities by providing telecommunications services within the Central and Eastern European markets, which are characterized by strong economic growth and a stable regulatory environment in addition to stable exchange rates, which benefits the group.” “E&”.
It is noteworthy that on September 24, the European Union approved the acquisition deal, after “&e” committed to a set of pledges before European regulatory authorities.
The “&e” group stated in its statement today that the new company, “e&PPF Telecom,” includes brands in the field of providing communications services such as “Yettel” in Bulgaria, Hungary and Austria, next to “O2” in Slovakia, in addition to providing infrastructure services. Infrastructure through the brand “CETIN”.
She added that E&PPF Telecom is distinguished by its strong financial performance by providing its services to more than 10 million customers, with combined revenues amounting to about 2 billion euros, and the earnings margin before interest, taxes, depreciation and amortization reached 44 percent in 2023.
According to the “&e” group’s statement, the value of the acquisition deal amounts to 2.15 billion euros, in addition to 200 million euros as a result of reducing the value of debt and improving the working capital of the “e&PPF Telecom” group.
The deal is also subject to an additional payment clause of up to 350 million euros for the benefit of the “BBF Telecom” group in the event that the new company achieves specific financial targets during the next three years from the date of completion of the deal, and the same clause is subject to a refund clause in the event that those financial targets are not achieved in the amount of Its value reaches 75 million euros, according to the statement.
The deal also includes the option to sell BBF Telecom its remaining stake in the new company, which can be activated five years after completing the deal, and in return, the “&e” group has a mutual purchase option.
The Emirati group said that the deal was financed through debt, and is not linked to related parties.
The financial statements of “E&PPF Telecom” will be merged with the financial statements of “&e” Group within the results of “E&International” starting in November 2024.
