Baring Vostok Capital Partners (BVCP) has agreed to acquire a 10% stake in ER-Telecom, one of the leading cable operators in Russia, for an undisclosed fee. According to a statement issued by the operator, the transaction will be completed shortly.
ER-Telecom is present in 25 Russian cities and as of the end of September had over 2.4 million subscribers. Of these, 1.1 million received its cable TV and 1.2 million broadband internet access services. Its share of the Russian pay-TV and broadband internet access markets stood at 7% and 8% respectively.
ER-Telecom’s revenues in 2009 amounted to R4.6 billion (€108.8 million), or 60% more than a year earlier.
The company’s main shareholder is the Perm Financial and Industrial Group, while BVCP specialises in investments in Russia and other CIS countries. Within the TV sector, it has already provided backing to CTC Media.
