The United Group, the leading telecommunication and media operator in South-Eastern Europe agreed on purchasing substantial minority shares of Forthnet, a Greek successful telecommunication company, N1 reported on Monday.
The transaction means that the UG will take over companies' loans, convertible debt and 36 percent of the capital share, after the negotiations with the National Bank of Greece, Piraeus Bank, and Attica Bank as the sellers.
The deal, details of which won't be made public, is in the process of receiving the standard regulatory permits.
After acquiring VIVACOM and Tele2 Hrvatska in 2019, the latest investment is the third since BC Partners took over the United Group in March 2019, and will bring the Groups' revenue to over 1.7 billion Euro after the end of the acquisitions.
The company's entry to the Greek market is another step in its European strategy of growth and additionally confirms its leading position in the industry in eight countries across the region.
Forthnet is a primary provider in home entertainment and communication in Greece. It employs some 1,000 people and provides services to about 700,000 individual users and over 40,000 companies.
"We are glad to have Forthnet joining the United Group, and I'm excited about the continuous strengthening of our business and providing our consumers with a wide spectre of top quality services. We see, with great pleasure, a vast opportunity in cooperation with Forthnet to boost the growth of TV service, enter the mobile phone market and widen our presence in Greece," Victoria Boklag, the CEO of the United Group, said.
Nikos Stathopoulos, the United Group President and a BC Partners' partner, added that 'the United Group's business model, management, technology and regional presence and leadership are key initiators of its organic growth which has additionally raised with the acquisitions and integration of strong local businesses. The Forthnet position in the dynamic local market is a strong foothold for expanding the Greek market, which we see as the strategic locations of the United Group. We are looking forward to cooperating with Forthnet in further expansion of the services it can offer to its users."
The Firthnet General Director Panos Papadopoulos said that "today's agreement has strategic importance for the Greek telecommunication and TV market. The United Group, as the leading telecommunication and media provider in the region, confirms the Forthnet value and gives new perspectives to our company. An important growth of the Internet and TV market we are preparing to launch creates a great investment environment for us and a possibility to use the knowledge and experience of the United Group's management, network and technology."
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