Hong Kong-based PCCW and Pinesbridge, a privately-owned fund owned by its chairman Richard Li, may jointly invest E180m in troubled Bulgarian operator Vivacom in exchange for a 51% stake, Reuters reports.
Vivacom is undergoing the restructuring of its…
Hong Kong-based PCCW and Pinesbridge, a privately-owned fund owned by its chairman Richard Li, may jointly invest E180m in troubled Bulgarian operator Vivacom in exchange for a 51% stake, Reuters reports.
Vivacom is undergoing the restructuring of its E1.5bn debt pile after having breached agreements at the end of June.
According to media reports, last month PCCW executive director Alex Arena met Vivacom’s senior lenders and Li met Bulgarian officials, although not being himself directly involved in negotiations.
Li took control of Vivacom in March when he acquired AIG Investments, which was then renamed Pinebridge. AIG bought the telco in 2008 from Advent International.
TelecomFinance previously reported that Vivacom had appointed Lazard to restructure its debt, while Deloitte was appointed to carry out an independent business review and Houlihan Lokey to advise junior lenders.
Deutsche Bank, RBS and UBS arranged the E1.635bn debt package that supported AIG Capital Partners’ acquisition of Vivacom, then known as BTC. The syndication closed in H1 2008.
Vivacom still has 90% fixed-line market share but only has 15% mobile market share.
