The proposed acquisition of Poland’s third largest cable operator Multimedia Polska by the second Vectra will now not happen.
In a release made available to local media and published by Satkurier, Multimedia Polska said: “In reference to information from August 28 this year concerning the potential sale of 100% of Multimedia’s shares to Vectra S.A. we would like to inform you that the exclusivity period for Vectra to determine key terms and to conclude a preliminary share sale has expired. After analysing the market and transaction risks related to the planned sale of 100% of Multimedia Polska shares to Vectra, the majority shareholders and the company’s management have decided today not to renew the exclusivity period and withdraw from the planned transaction”.
As previously reported by Broadband TV News, Vectra filed a notification with the Office of Competition and Consumer Protection (UOKiK) on August 27 notifying it of its intention to become the sole owner of Multimedia Polska.
The two parties said that they had signed a term sheet setting out the conditions for Vectra’s acquisition of 100% of Multimedia Polska. They added that they were negotiating the provisions of the preliminary share purchase agreement, subject to the consent of the president of the UOKiK to carry out the concentration.
The latest development marks the second major setback for consolidation in the Polish cable market in 2018. Earlier this year UPC Polska withdrew its offer to buy Multimedia Polska after concluding it could not address the UOKiK’s competition concerns related to the proposed acquisition.
