10
Mon, Feb
101 New Articles

Closing: E&'s Acquisition of PPF Telecom Bulgarian, Hungarian, Serbian, and Slovakian Assets Now Closed

News
Tools
Typography
  • Smaller Small Medium Big Bigger
  • Default Helvetica Segoe Georgia Times

On October 25, 2024, White & Case has announced that E&'s acquisition of PPF Telecom Bulgarian, Hungarian, Serbian, and Slovakian assets (as reported by CEE Legal Matters on August 9, 2023) has now closed.

According to White & Case, "the transaction represents a significant strategic partnership in the Central and Eastern European telecommunications sector, enhancing E& Group's market presence in the region while allowing PPF Group to refine its portfolio in line with its long-term strategy."

As previously reported Schoenherr, working with Sullivan & Cromwell, has advised the Emirates Telecommunications Group Company – operating as E& – on its acquisition of a 50%-plus-one-share stake in PPF Telecom Group's assets in Bulgaria, Hungary, Serbia, and Slovakia. White & Case, Karanovic & Partners, and DGKV have advised the PPF Group on the up to EUR 2.5 billion sale and the setup of a joint venture with E&.

According to Karanovic & Partners, the target assets comprise Yettel Bulgaria, Yettel Hungary, Yettel Serbia, and the O2 Slovakia service operations and the CETIN and O2 Networks infrastructure businesses in these countries that are fully carved out and managed independently of the service companies.

As announced by E&, the upfront consideration for the acquisition is EUR 2.15 billion, while the transaction also includes earn-out and clawback payments depending on the achievement of certain financial targets. According to PPF, its existing assets in the Czech Republic will be transferred outside the PPF Telecom Group and not be part of the transaction.

The Emirates Telecommunications Group Company (doing business as Etisalat by E&) is an Emirati-based multinational telecommunications services provider currently operating in 16 countries across Asia, the Middle East, and Africa.

The PPF Group is a privately held international financial and investment group founded in 1991 in Czechoslovakia and residing in the Netherlands. The PPF Group invests in multiple market segments such as financial services, telecommunications, biotechnology, real estate, and mechanical engineering.

"By combining PPF Telecom's expertise with our own innovative capabilities, we are poised to establish a major telecommunications presence in Central and Eastern Europe," E& CEO Hatem Dowidar commented. "We aim to realize synergies, optimize procurement efficiencies, and enhance customer offerings, establishing our position as a leading global tech group."

The Schoenherr team was led by Partners Alexandra Doytchinova and Luka Lopicic and included Partners Christoph Haid, Kinga Hetenyi, and Sona Hekelova, Counsel Michal Lucivjansky, and Attorneys at Law Katerina Kaloyanova-Toshkova, Adrian Menczelesz, and Pavle Eric.

The White & Case team was led by Partners Jan Andrusko and Caroline Sherrell and included Prague-based Partners Jan Stejskal, Jan Jakoubek, Jonathan Weinberg, and Petr Hudec and Associates Iva Cechrakova, Lukas Pavlik, and Tadeas Matys, with further lawyers in London and Sydney.

The Karanovic & Partners team included Partners Milos Jakovljevic and Bojan Vuckovic and Senior Associate Sava Draca.

The DGKV team included Partners Violetta Kunze, Nikolai Gouginski, and Valentin Bojilov and Senior Associate Milka Ivanova.

The White & Case team was led by Partners Jan Andrusko and Caroline Sherrell and included Prague-based Partners Jan Stejskal, Jan Jakoubek, Jonathan Weinberg, Tomas Jine, Petr Hudec, and Ivo Janda, Local Partner Radek Kraus, Counsel Magda Olysarova, and Associates Iva Cechrakova, Lukas Pavlik, Jan Vacula, Anna Starkova, and Tadeas Matys, with further lawyers in London and Sydney.

Hungary Knowledge Partner

DLA Piper is a global law firm with lawyers located in more than 40 countries throughout the Americas, Europe, the Middle East, Africa, and Asia Pacific. This positions us to help clients with their legal needs around the world.

With more than 60 lawyers, including 14 partners, and a staff of over 140, DLA Piper Hungary is one of the largest international law firms operating in Hungary. What makes us stand out is that we offer not only legal services but also tax and business advisory support in a fully integrated manner. We maximize synergies between legal, tax, and business advisory services to offer a unique service for our clients, particularly in regulated industries such as energy, infrastructure, life sciences, banking, and telecommunications.

We are a true full-service firm, providing our private and public sector clients with advice on all aspects of their business. This includes transaction-related advice, people and employment, commercial dealings, litigation, information technology, media and communications, intellectual property, insurance, tax, real estate, and restructuring plans.

DLA Piper Hungary has received numerous professional awards and is consistently ranked among the top law firms in Hungary by international rankings. We are ranked #1 by Mergermarket among the law firms active in Hungary based on the volume of M&A deals handled between 2005 and 2024.

Firm's website.

Our Latest Issue