Greek telecommunications and pay-TV provider Forthnet has officially become part of United Group, a provider of telecommunications services and media in Southeast Europe. United Group, which is majority owned by BC Partners, announced in June a deal to acquire an initial stake of 36 percent in Forthnet. Since then, United Group increased its stake to about 80 percent. By the end of 2020, after the company plans to complete the conversion of the Forthnet convertible debt it holds, and its stake will rise to approximately 85 percent.
Under Greek tender offer rules, United Group triggered the minimum mandatory tender offer requirements and is expected to launch a bid for the company's remaining shares, which should be completed in Q1 2021.
If United Group acquires at least 90 percent of the ordinary shares of Forthnet, it will eventually acquire 100 percent through a right to squeeze out any remaining shareholders.
The purchase of Forthnet is United Group’s third major transaction in less than a year, following the acquisitions of Croatia’s Tele2 and Bulgaria’s Vivacom. Together the acquisitions increased the company’s size to EUR 1.7 billion in pro-forma annual revenues.
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