The Telekom Austria Group announced today that it's acquiring a 70% stake in Cypriot SB Telecom Limited for 730 million Euros, or about $1.03 billion, with the option to purchase the remaining 30% in 2010.

SB Telecom is the sole owner of MDC, the number two mobile operator in Belarus, operating under the brand names Velcom and Privet.

"The acquisition of MDC is the consistent execution of our strategy for profitable growth in Eastern- and South-Eastern Europe - it offers us an entry to the attractive Telecommunication market in Belarus while the terms of the transaction once again underline our disciplined approach to expansion," says Telekom Austria Group CEO Boris Nemsic.

More here from Reuters ... more here from Digital Journal ... more here from Bloomberg ... and the press release is here.