Telekom Austria acquires Croatian network

Telekom Austria Group has struck a deal to acquire a controlling stake in Croatian fixed-line operator Metronet.

The telco is acquiring the stake through its existing local operator Vipnet from a range of Croatian corporations, financial institutions and individuals, including Quaestus Private Equity Fund.

Metronet primarily serves the business segment with data, voice, managed IT and cloud services and approximately 4,300 corporate customers, who generated approximately 90% of total revenues in 2015.

The company is present in 66 cities, reaching approximately 85% of all corporate customers in Croatia via its fibre network. In 2015, the company generated revenues of approximately €28 million and EBITDA of approximately €12 million.

Telekom Austria Group will finance the transaction via its existing cash flow. It did not disclose the price. Closing is expected for Q1 2017. The transaction is subject to merger control clearance.

“The acquisition of Metronet strengthens the Group’s Croatian business, where it has been offering convergent services since 2011,” said Alejandro Plater, CEO and COO, Telekom Austria Group.