Ukraine's leading English-language newspaper since 1995

Ihor Kolomoiksy focus.in.ua Central European Media Enterprises Ltd. (СМЕ) has announced that it has reached an agreement with a member of СМЕ's board, the co-owner of the largest bank in Ukraine – PrivatBank – Ihor Kolomoisky on the sale of shares in the 1+1 telecommunications group.

According to the agreement, Kolomoisky receives 49% of СМЕ's Ukrainian assets, paying $100 million in cash, and 100% of the TET TV channel, which is to be integrated into the 1+1 Group, the Telekritika online publication has reported.

The transaction is to be finalized by late Q3, 2009.

The $100 million is to be invested in the development of the 1+1, Kino and TET TV channels. Later, the TET channel is to be developed according to a multi-channel CME strategy aimed at the creation of niche TV channels of the media group.

Kolomoisky also has the right to buy out CME's 51% stake for $300 million in cash.

CME's stations are located in Bulgaria (TV2 and Ring TV), Croatia (Nova TV), the Czech Republic (TV Nova, Nova Cinema and NovaSport), Romania (PRO TV, PRO TV International, Acasa, PRO Cinema, Sport.ro and MTV Romania), Slovakia (Markiza), Slovenia (POP TV, Kanal A) and Ukraine (Studio 1+1, Studio 1+1 International and Kino).