Turkcell has taken sole control of Ukrainian mobile operator life:), a move it says will serve as a test bed as it aims to strengthen its international operations.
The Turkish telco announced late last week that it will pay US$100 million for the 44.96% stake in Euroasia Telecommunications Holding held by SCM Holdings. Turkcell already owns the remaining 55.04%.
Euroasia owns 100% of Astelit, which operates under the life:) brand.
Under t he terms of the deal, Turkcell will also take responsibility for Astelit’s debts acquired through SCM.
"As Turkcell, we had declared that we would be evaluating both organic and inorganic growth opportunities to strengthen our position in the countries where we operate. In this context, we have taken the first major step in Ukraine," said Turkcell CEO Kaan Terzioglu, in a statement.
"We believe that Ukraine will be a success story for Turkcell’s international operations and a pilot country as we transfer our experience to the region," Terzioglu said.
The deal is expected to close within 30 days.
The Ukrainian mobile market is particularly competitive at present, with its three major telcos in the process of rolling out 3G services, licences having been awarded in February.
Life:) announced the launch of 3G earlier this month.
