e& acquires majority stake in PPF Telecom

e& and PPF Group have successfully completed their landmark partnership, whereby e& acquired a controlling stake (50% plus economic interest) in PPF Telecom Group's ("PPF Telecom") services and infrastructure businesses in Bulgaria, Hungary, Serbia and Slovakia. This acquisition marks a significant step in e&'s ongoing global expansion ambitions, by diversifying and increasing its geographic presence to 38 countries.

This milestone is set to transform the telecoms landscape in the Central and Eastern Europe (CEE) region to deliver greater value to over 10 million customers across the four markets. The partnership will give them access to cutting-edge technologies, expanded product offerings and innovative digital services to accelerate digital growth and empower businesses and communities alike.

An alliance based on mutual strengths

The completion of this transaction is a significant development for both e& and PPF Telecom. By combining e&’s global scale, extensive industry experience and digital capabilities with PPF Telecom’s deep regional knowledge and proven track record of organic growth and operational excellence, this partnership will accelerate future growth while opening new avenues for advanced digital services, IoT solutions and enhanced B2B offerings.

Hatem Dowidar, Group CEO, e&, added: “Having completed our transaction to partner with PPF Telecom is a momentous point in e&'s journey as it extends our telecom footprint to 20 countries and the overall footprint of e&'s operations to 38 countries, across the Middle East, Asia and Africa, and now to Central and Eastern Europe. PPF Telecom’s regional expertise and e&'s global capabilities create a powerful platform for us to grow and innovate in these dynamic markets. We are all committed to providing greater value to our customers through cutting-edge digital services.”

“I am delighted to welcome Balesh Sharma, Managing Director of PPF Telecom and his talented team to the e& family. Their deep understanding of the local markets will be invaluable as we move forward in this exciting new chapter.”

Khalifa Al Shamsi , CEO of e& international , said: “We are pleased to welcome the PPF Telecom team to the e& family. This alliance opens up tremendous opportunities for cross-pollination of ideas, best practices and innovative solutions and strengthens our ability to provide cutting-edge and reliable telecommunications, cutting-edge 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, drive greater operational efficiency and accelerate the deployment of next-generation digital networks and services. Together, we are well positioned to drive digital advancement and explore new growth opportunities across our expanded global network.”

A new era for PPF Telecom

A key differentiator for PPF Telecom is its unique asset separation model in the telecommunications world. This strategically innovative approach allows for greater focus and specialization, resulting in potential performance improvements and value creation in both the infrastructure and service areas.

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

PPF’s proven lean management practices combined with e&T’s global scale and resources will be the cornerstone of this partnership’s operating strategy to drive significant operational synergies and cost efficiencies. This synergistic approach is designed to deliver high-quality, efficient services while maintaining agility in the dynamic telecommunications market.

Jiří Šmejc, CEO of PPF, said: “ I welcome e& as our partner in the telecom business in CEE. Together, we have created a platform to drive value creation in the rapidly developing telecom markets. Our partnership with e& demonstrates the quality of PPF’s industry expertise and local know-how. In return, PPF’s telecom teams will benefit from e&’s global scale and technological know-how, enabling us to deliver on our ambitions for further growth. It took more than a year and a half from our initial discussions to close this extremely complex transaction. The outcome is very gratifying and I would like to thank both teams for their great work.”

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

Under the terms of the partnership, Balesh Sharma , Managing Director of PPF Telecom and his PPF Telecom management team will retain their roles at e&PPF Telecom. This will ensure that operations continue while leveraging the extensive experience of PPF Telecom teams in their respective markets.

Balesh Sharma , Managing Director, PPF Telecom , said, “Today marks an important milestone not only in e&P’s journey but for the telecom industry at large in the region. As a result of this partnership, our customers will get even better services, including access to the e&P product suite, and benefit from enhanced international roaming offerings. For our employees, the partnership opens up new learning and development and career opportunities, thanks to e&P’s global footprint.”

Creating value through strategic partnerships

This agreement will leverage synergies in network operations, procurement and customer service, driving greater operational efficiency and unlocking new opportunities for growth, innovation and improved customer experiences across the region. e&T’s expertise in digital services, AI and IoT will further enhance PPF Telecom’s offerings, ensuring a seamless transition and continued access to best-in-class services. 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 e& and PPF Telecom employees and unlock new opportunities for career growth, cross-continental learning and integration into a global talent network. The new joint entity, e& PPF Telecom, will operate as an independent entity, retaining its current management team and employee base.

e& is a global technology group committed to advancing the digital future across markets in the Middle East , Asia , Africa and Europe. With the Group’s 2023 financial performance showing a consolidated net revenue of AED 53.8 billion and a net profit of AED 10.3 billion, e& continues to maintain its position as a financial powerhouse, reflected by its strong credit rating and robust balance sheet.

Founded in Abu Dhabi over 48 years ago, e& has evolved from a telecom pioneer into a technology group. Its presence now spans 38 countries and offers a comprehensive portfolio of innovative digital services ranging from advanced connectivity, entertainment, streaming and financial services to AI-driven solutions, cloud computing, ICT, cybersecurity and IoT platforms.

The Group is structured around five core business pillars: e& UAE , e& international , e& life , e& enterprise and e& capital , each serving distinct customer and market needs. These pillars enable e& to lead across diverse sectors, from telecom and digital lifestyle to enterprise services and venture investments. Continued strategic investments in AI, IoT, 5G and cloud services reinforce its leadership in the global technology landscape, driving the future of intelligent connectivity and innovation.