Tele2: sells German unit to local management
(CercleFinance.com) - Tele2 has sold its German business to the unit's management for an enterprise value of up to 22.
8 million euros, the Swedish telecom operator said on Friday.
Following a "thorough" M&A process with a large number of potential buyers, the company concluded that selling Tele2 Germany to the local management was "the most value accretive alternative," it said in a statement.
In the release, Tele2 noted that the final terms of the deal will depend upon the financial performance of the business until the end of 2024.
The phone company - which is aiming to consolidate its geographical footprint - said the German unit's management has done an "impressive job" over the years, by creating significant value, despite a portfolio of products in "structural decline."
"They are clearly best suited to manage the German business going forward," the group added.
The transaction is expected to close this month.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
8 million euros, the Swedish telecom operator said on Friday.
Following a "thorough" M&A process with a large number of potential buyers, the company concluded that selling Tele2 Germany to the local management was "the most value accretive alternative," it said in a statement.
In the release, Tele2 noted that the final terms of the deal will depend upon the financial performance of the business until the end of 2024.
The phone company - which is aiming to consolidate its geographical footprint - said the German unit's management has done an "impressive job" over the years, by creating significant value, despite a portfolio of products in "structural decline."
"They are clearly best suited to manage the German business going forward," the group added.
The transaction is expected to close this month.
Copyright (c) 2020 CercleFinance.com. All rights reserved.