Spain’s Telefonica has sold Manx Telecom, the leading operator on the Isle of Man, to CPS Partners and Hg Capital for £158.5m.
In a statement today, Manx Telecom MD Chris Hall described the company as “strong, profitable and successful”, adding that…
Spain’s Telefonica has sold Manx Telecom, the leading operator on the Isle of Man, to CPS Partners and Hg Capital for £158.5m.
In a statement today, Manx Telecom MD Chris Hall described the company as “strong, profitable and successful”, adding that staff would gain the opportunity to own part of the business.
The buyers plan to support Manx in continuing its strong organic growth record, while also using it as a growth vehicle for bolt-on acquisitions, Hg Capital head Alex King was quoted saying.
For Telefonica, which is currently embroiled in a battle to control Vivo in Brazil, the move marks the divestment of a non-core asset.
Hg Capital is a private equity form active in sectors including TMT, while CPS Partners is a telecoms management company. According to its website, CPS aims to “build a portfolio of incumbent telcos in small and medium size economies”, focusing on operators with annual revenues of £50-500m. It says it works with private equity, sovereign wealth and other investors interested in the telecoms sector. Previous projects include work with Telkom Kenya and Jersey Telecom.
The transaction is due to complete by the end of June.