Versatel Telecom International today announced that it has agreed to sell the shares in its Belgian subsidiaries Versatel Belgium N.V. and Tele2 Belgium N.V. to KPN. KPN will pay Versatel approximately €95 million in cash. The companies expect to complete the transaction following approval of the Belgian Competition Authorities.
The transaction will have a positive one-time P&L (profit & loss) effect on Versatel of approximately €5–10 million.
Versatel will use the proceeds of the transaction to repay an outstanding loan to the Tele2 group, while at the same time securing a stand by facility from Tele2 for the same amount to fund, inter alia, general corporate purposes.