Portuguese cablenet TV Cabo is to take control of smaller rival TVTel. The PT Multimedia division has already taken a 20% stake and will purchase the remaining 80% from investment bank Caixa BI, providing it gets the necessary approval from the regulatory authorities.
The purchase price, based on a multiple of 12 times the 2007 EBITDA, will be established once the transaction closes. TV Cabo will also purchase TVTel’s satellite and optical fibre infrastructure in Lisbon.
