The United Group (UG), a leading telecommunication media operator in South-Eastern Europe, comprising SBB, Telemch, N1 and Nova S TVs agreed on the purchase of Vivacom, the largest Bulgarian telecommunication operator, N1 reported on Friday.
The acquisition is the second since March 2019, when the BC Partners, with headquarters in New York and London, bought the United Group and one of the largest purchases in the region ever.
“The acquisition will speed up the United Group growth, widen its geographic presence and confirm its position as the regional leader in this industry, “ the Group said in a statement.
The UG has a business in six regional countries.
The Bulgarian Vivacom company services over 1.8 million users. It’s the country’s first telecommunication firm which provides advanced services such as optical internet, mobile phone service and digital television to private and commercial users.
The finalisation of the transaction is expected in the second quarter of 2020 after the Anti-Monopoly Commission gives the green light.
The purchase will be realised with a loan and with its capital.
“Vivacom is led by strong management, its business is great, and I’m excited about the possibility to strengthen their business. Bulgaria is an attractive market, and this acquisition will enable us to diversify our work even more. The United Group has excellent results with such acquisitions and integrations with over a hundred purchases since its beginning,” Victoria Boklag, the UG CEO said.
Nikos Stathopoulos, BC Partners Partner, said when they invested into the United Group, “we identified its business model, technology and regional leadership as key initiators to the organic growth which additionally accelerates the acquisition of local companies.”
“It’s a pleasure to get a dynamic operator who is doing business in a growing market which gives us a chance to widen our business in Europe,” he added.
Spas Rusev, the President of the Vivacom Supervisory Board, said “the transaction is a huge success and great opportunity for Vivacom, its users and Bulgaria as well.”
“We all have put enormous effort to make Vivacom what it is today – one of the most successful operators in Europe. We welcome our new shareholders at BC Partners, one of the most successful global investors with a significant presence in Europe and North America. Vivacom will play an important role in the further development of the United Group, as a leading communication and media operator in the region,” Rusev said.
Vivacom financial advisor was Lazard, while CMS took part as a legal advisor.
The UG’s financial advisors were City Group, JP Morgan and Lion Tree, while legal advice came for Paul Weiss.
About the United Group
With its headquarter in Amsterdam, the United Group is a leading telecommunication and media operator in South-Eastern Europe. Through significant investments in digital infrastructure, content and technology, it provides leading services to the users across the region. In the last 18 years, the Group widen its presences through organic growth and acquisitions, employing over 4,400 people and securing services to more than 1,8 million households.
About BC Partners
BC Partners is a leading international investment company with over 22 billion Euros put into capital, loans and properties. Established in 1986, BC Partners company played an active role in developing the European markets for almost three decades. Nowadays, BS Partners leadership manages businesses in the markets as an integrated team with offices in Europe and North America. Since it was founded, BC Partners Private Equity realised 111 investments into companies with a total value of 135 billion Euros. The company currently invests from its 10th fund.
For more information, please visitwww.bcpartners.com.
Bulgaria’s Telecommunication company Vivacom is the largest operator in the country. It offers services in telephony, fast mobile and cable internet and satellite TV to over 1.8 million unique users.
For more information, please visit www.vivacom.bg