British mobile operator Vodafone and Greek telco Wind Hellas have made a joint takeover bid for Athens-listed alternative fixed-line and pay-TV operator Forthnet.
The non-binding offer comes hot on the heels of Greek incumbent telco OTE’s [B] up to…
British mobile operator Vodafone and Greek telco Wind Hellas have made a joint takeover bid for Athens-listed alternative fixed-line and pay-TV operator Forthnet.
The non-binding offer comes hot on the heels of Greek incumbent telco OTE’s [B] up to €300m (US$411m) proposal, also non-binding, for just Forthnet’s pay-TV operation, called Nova.
Forthnet said in a bourse filing that Vodafone and Wind, which already have stakes in the company of about 6.5% and 33%, respectively, have offered €1.70 to €1.90 (US$2.30 to US$2.60) per share for all outstanding stock. Forthnet has a market capitalisation on the Athens bourse of €187.17m (US$253.14m), valuing the 60.5% of shares not owned by Vodafone and Wind at €113.23m (US$153.17m).
The indicative proposal does not constitute a tender offer under Greek law, but could lead to it subsequently. Forthnet said it would support such a move.
The operator said that there have been no significant developments concerning OTE’s offer for Nova.
Spokespeople for Vodafone and Wind acknowledged the bid but declined to comment further.
Nova provides a variety of SD, HD and 3D channels, and broadcasts DTH services through five transponders on Eutelsat’s HotBird.
OTE launched its first DTH platform in the country in 2011 through Eutelsat’s Eurobird-9A satellite. Two years after that, Greece’s domestic satellite operator Hellas Sat was sold to Arabsat of Saudi Arabia.
Vodafone and Wind recently inked an agreement giving the former the right to boost its stake in Forthnet to 19.75% in a year’s time – a move which would see Wind’s stake drop to the same percentage. The move prompted speculation that the two operators would join forces to take control of Forthnet.
Emirates International Telecommunication’s (EIT’s) subsidiary Forgendo is Forthnet’s largest shareholder with a 44% stake. EIT is a unit of Dubai Holding, investing in communications in the Middle East, Europe and North Africa.
OTE, in which Germany’s Deutsche Telekom has a 40% stake plus one share, is Greece’s largest mobile operator, followed by Vodafone and Wind respectively. Vodafone and Wind abandoned merger talks in early 2012, but signed a 2G and 3G network sharing agreement in mid-2013.
Forthnet provides fixed-line telephone and broadband as well as pay-TV services.
