e& completes the acquisition of PPF Telecom controlling stake.

e& and PPF Group (hereinafter referred to as "PPF") announced today that they have successfully achieved a landmark cooperation, with e& acquiring a controlling stake (50% plus one economic share) in PPF Telecom Group's (hereinafter referred to as "PPF Telecom") service and infrastructure companies in Bulgaria, Hungary, Serbia, and Slovakia. This acquisition highlights e&'s continued global expansion ambitions and marks an important step in diversifying its business and expanding its operations to 38 countries.

e& and PPF Telecom Group are now collaborating in Central and Eastern Europe

This milestone cooperation will reshape the telecommunications landscape in Central and Eastern Europe (CEE) and bring higher value to over 10 million customers across four markets. The partnership will provide customers with cutting-edge technology, a broader range of products, and innovative digital services, accelerating digital growth and empowering businesses and communities.

A Partnership Built on Mutual Strengths

The completion of this deal is undoubtedly a significant leap forward for both e& and PPF Telecom. By combining e&'s global scale, extensive industry expertise, and digital capabilities with PPF Telecom's deep regional knowledge, strong organic growth, and track record of operational excellence, this collaboration will accelerate future growth while paving the way for advanced digital services, IoT solutions, and enhanced B2B offerings.

Hatem Dowidar, CEO of e& Group, added: "Our partnership with PPF Telecom is a pivotal moment in e&'s journey, expanding our telecom footprint to 20 countries and our overall operations to 38 countries across the Middle East, Asia, Africa, and Central and Eastern Europe. PPF Telecom's regional expertise and e&'s global capabilities create a powerful platform for growth and innovation in these dynamic markets. We are both committed to delivering higher value to customers through leading digital services.

I am delighted to welcome Balesh Sharma, CEO of PPF Telecom, and his talented team to the e& family. Their deep understanding of local markets will be invaluable as we embark on this exciting new chapter together."

Khalifa Al Shamsi, CEO of e& international, said: "We are thrilled to welcome the PPF Telecom team to the e& family. This partnership presents a tremendous opportunity for the exchange of ideas, best practices, and innovative solutions, enhancing our ability to deliver advanced and reliable telecommunications, leading technology, and digital services to millions of new customers, fostering economic growth and digital inclusion across the region.

I look forward to working with Balesh Sharma and the PPF Telecom team to leverage our combined strengths, improve operational efficiency, and accelerate the rollout of next-generation networks and digital services. Together, we are well-positioned to drive digital transformation and explore new growth opportunities within our expanding global network."

A New Era for PPF Telecom

A key differentiator for PPF Telecom is its unique asset separation model in the telecommunications sector. This strategically innovative approach enables greater focus and specialization, enhancing potential performance and value creation in both infrastructure and services.

This asset separation model will allow the new partnership to optimize resource allocation, streamline decision-making, and improve overall efficiency.

PPF's time-tested lean management practices, combined with e&'s global scale and resources, will form the cornerstone of this partnership's operational strategy, delivering significant operational synergies and cost efficiencies. This collaborative approach will ensure efficient, high-quality services while maintaining agility in a dynamic telecom market.

Jiří Šmejc, CEO of PPF, said: "I welcome e& as our partner in the CEE telecom business. Together, we are building a platform to drive value creation in a rapidly evolving telecom market. Our partnership with e& is a testament to PPF's deep industry expertise and local knowledge. In return, PPF's telecom team will benefit from e&'s global scale and technical know-how, helping us achieve our growth ambitions. From initial discussions to the completion of this highly complex transaction, it took a year and a half. The outcome is immensely valuable, and I thank both teams for their outstanding performance."

Jiří Šmejc reiterated that PPF's telecom assets in the Czech Republic will remain outside e& PPF Telecom and will continue to be wholly owned by PPF.

Under the terms of the partnership, Balesh Sharma, CEO of PPF Telecom, and the PPF Telecom management team will retain their roles in e& PPF Telecom. This will ensure operational continuity while leveraging the PPF Telecom team's extensive expertise in their respective markets.

Balesh Sharma, CEO of PPF Telecom, said: "Today marks not only a significant milestone in the journey of e& PPF Telecom but also for the broader telecom industry in the region. Through this partnership, our customers will enjoy enhanced services, including access to e&'s product suite and improved international roaming. For our employees, this collaboration will open up new learning, development, and career opportunities, thanks to e&'s global presence."

Creating Value Through Strategic Partnership

This deal will leverage synergies in network operations, procurement, and customer service to improve operational efficiency and create new opportunities for growth, innovation, and enhanced customer experience across the region. e&'s expertise in digital services, AI, and IoT will further elevate PPF Telecom's product offerings, ensuring a seamless transition and consistently high-quality service. Customers will benefit from a broader portfolio of world-class products and services, including advanced B2B and IoT solutions.

This partnership will also bring significant value to employees of both e& and PPF Telecom, offering new opportunities for career development, cross-continental learning, and integration into a global talent network. The new joint entity, e& PPF Telecom, will operate as an independent entity, retaining the existing management team and workforce.