Abu Dhabi-based company takes over Yettel in Serbia

Abu Dhabi-based Emirates Telecommunications Group has agreed to purchase a controlling stake in PPF Telecom Group in Bulgaria, Hungary, Serbia and Slovakia for EUR 2.15 billion, as part of its plan to strengthen its global presence.

Emirates Telecom has signed a binding agreement for a controlling stake in PPF's service and infrastructure companies in these countries, according to their statement on Tuesday, except in Hungary where Corvinus Nemzetkozi Befektetesi holds a 25% stake.

The deal came as the USD 60 billion-worth Abu Dhabi giant said it had the "capacity and means" to invest, Chief Executive Officer Hatem Dovidar told Bloomberg TV earlier this year, adding that his focus was on opportunities in Europe, Asia and Africa.

PPF Telekom, part of the business empire owned by the Czech billionaire family Kellner, consists of Yettel Bulgaria, Yettel Hungary, Yettel Serbia, O2 Slovakia and infrastructure companies CETIN and O2 Networks in those countries.

The Kellner family, whose net worth is estimated by the Bloomberg Billionaires Index at $12.1 billion, is looking for potential acquisition targets in Europe as part of a strategy to shift its investment focus back to Western markets after years of expansion in Asia.

The agreement includes up to EUR 350 million in payments if the PPF exceeds certain goals, and otherwise foresees a return of up to EUR 75 million if part of those goals are not met by the time the agreement is finalized.

Emirates Telecommunications Group Company PJSC

PPF a.s.

Yettel d.o.o. Beograd

Emirates Telecommunications Group

PPF Telekom group

Yettel

Yettel Serbia

Emirates Telecom

Yettel Bulgaria

Yettel Hungary

O2 Slovakia

CETIN

O2 Netvorks

Corvinus Nemzetkozi Befektetesi

Kelner family

Yettel takeover