ISTANBUL, Turkey -- Turkcell (NYSE: TKC, ISE: TCELL), theleading provider of mobile communications in Turkey, announced today that itsigned a Sale and Purchase Agreement (“SPA”) to acquire a 80% stake inBelarusian Telecommunications Network (“BeST”). The completion of thetransaction will be subject to the fulfillment of the conditions set forth in the SPA.
The stake will be acquired from the State Committee on Property of the Republicof Belarus for a consideration of US$500 million. The payment is expected to berealized in 3 tranches of which US$300 million is expected to be paid on theclosing date, which is expected to be 30 days after the signature date andadditional US$100 million tranches are expected to be paid on December 31,2009 and 2010 respectively. An additional payment of US$100 million shall bemade when BeST records a full-year positive net income for the first time.
Turkcell CEO Sureyya Ciliv noted that “The acquisition of BeST represents anopportunity for Turkcell to gain access to a market with a growth potential. Belarusis an attractive emerging market within Turkcell’s growth geography with its youngand well educated population and steadily growing economy. We are also happyto be starting our operations with an already established third operator in Belarus.
We believe we can use our complimentary skills we gained in Ukraine and CISvery effectively in Belarus to differentiate BeST as soon as possible.
Turkcell Iletisim Hizmetleri A.S. (NYSE: TKC)