The consideration for the shares of Zapp is estimated at approximately 61 mil € (equity value), while COSMOTE will also assume the debt and other liabilities of Zapp, mainly concerning 3G and CDMA network roll out, estimated at approximately 146 mil €. Citigroup Global Markets Limited (CITI) and N M Rothschild and Sons Limited acted as COSMOTE’s financial advisors for the transaction.

COSMOTE CEO, Mr. Michael Tsamaz, commented: “The deal signed today marks a new cycle of growth and expanded customer base for COSMOTE Romania since the 3G and CDMA licenses and infrastructure allow the company to offer cutting-edge data and voice services in Romania. In one of the most competitive markets in Europe, and in only 3.5 years of operations, COSMOTE Romania’s impressive track-record proves that the company is in a position to fully capture the benefits from our new investment”.

Zapp is the oldest mobile operator in the Romanian market. The company launched commercial operations in 1993. Today, it holds a CDMA license in the 450 MHz band and a 3G license at 2100 MHz. Its 3G network currently covers 23 Romanian cities. In 2008 Zapp’s revenues amounted to 61 mil € while its customer base exceeded 374 thousand post paid customers.

The acquisition is subject, among other conditions, to the approval of relevant Romanian authorities.