KYIV, Nov 26 – The Russian phone company MTS earned healthy profits after selling its Ukrainian cell phone subsidiary for $734 million to Azerbaijan’s Bakcell, analysts said Tuesday.

MTS, which purchased the Ukrainian assets for $378 million in 2003, also received at least $1.35 billion in dividends from the Ukrainian operation.

"MTS is one of the most successful investors in Ukraine,” Oleksandr Paraschiy, the head of the analytical department of Concorde Capital investment company, said.