Czech Telecomunication Group Sold For More Than Billion Euro

24 November 2006, 17:10 - Business
Mr Thor Bjorgolfsson from Iceland who held a 70 per cent stake in Ceske Radiokomunikace, one of the leading Czech Republic telecommunications company, has sold them out to a group of private equity investors for 1.19bn Euro.

The landmark deal underlines private equity's continuing appetite for telecoms and its growing ability to raise substantial debt finance for central European transactions.

The business deal is also interesting for the fact, that Ceske Radiokomunikace also hold almost 40 percent of the stake in the second largest Czech mobile operator T-Mobile Czech Republic.

Ceske Radiokomunikace is the second Czech alternative in fixed lines. It aims at the corporate clients in large cities. The company also seeks retail clients in broadband internet services over ADSL and wi-fi. And, it runs the local radio and TV broadcasting infrastructure.