Austrian company is to purchase a Belarusian mobile operator
11:30, — Economics
An Austrian telecommunication company Telekom Austria agreed to purchase 70 percent of shares of the Cyprus company SB Telecom Ltd that owns the Belarusian mobile operator MDC (trademark Velcom) for approximately EURO 70 mln ($ 1.0 bln), the Austrian company reported on Monday.
“With this deal the MDC company’s price is 5.9 times higher than the profit of the company expected in 2008 before payments on taxes, interest rates, re-estimation and amortization (EBITDA),” the company said.
Telekom Austria also said it had signed an optional agreement for the rest 30 percent of the shares. The term of the agreement worth EURO 320 mln exceeds in the second half of 2010.
