Hungary’s leading alternative telco Invitel is to be sold by its current owner Magyar Telecom to the China-CEE fund (CEE Equity) for an enterprise value of €202 million.
According to Reuters, the approval of Matel Holdings Limited, which holds 49% of Magyar Telecom, is being solicited via a consent request.
Meanwhile, Mid Europa Partners (MEP), which holds 51%, has agreed on the sale.
In a statement, it says the transaction is subject to customary closing conditions, including competition clearance, and is expected to complete in Q1 this year.
Commenting on the sale, David Blunck, the CEO of Invitel, said: “Under Mid Europa’s leadership we have strengthened Invitel’s position in the Hungarian market and we are grateful for their support. We look forward to further developing the business under the ownership of CEE Equity.”
Invitel is Hungary’s second-largest incumbent fixed line telecommunications and broadband internet services provider, with more than 1 million homes passed, and serves both residential and corporate customers.
Rothschild acted as the exclusive financial adviser and Dechert as legal counsel for MEP in the deal.
