A major cable deal has been announced in Lithuania, with Viginta, operating under the VDNET brand name, agreeing to buy Tele 2 Sverige’s C gates operation for a fee of around SEK40 million (€4.4 million).
The resulting merger between VDNET and C gates will create the second largest cable operator and biggest fixed internet provider in Lithuania, according to Paulius Dambrauskas, CEO of VDNET.
The combined size of the two companies will be 110,000 customers and an annual turnover (this year) of €9 million.
Viginta was established in 1991 and is backed by Advanced Broadband and SEB Venture Capital. It has a presence in Vilnius and three cities in the south of Lithuania and plans to expand its FTTH network.
The deal between the Viginta and Tele 2 Sverige now awaits approval by the Lithuanian competition authority.