Business news

MINSK, 30 November (BelTA) – Telekom Austria Group, the owner of velcom mobile operator in Belarus, will buy Atlant Telecom, BelTA learned from the corporate communication department at velcom.

Telekom Austria has agreed to buy 100% of the shares in the Belarusian operators Atlant Telecom and its subsidiary TeleSet. The sellers are the private equity firm ZUBR Capital and the European Bank for Reconstruction and Development (EBRD).

Atlant Telecom and TeleSet are the leading privately owned fixed-line operators in Belarus, providing fixed-line broadband, IPTV and cable TV, as well as a video and audio library. They provide services to approximately 125,700 fixed broadband and 46,000 cable TV users. In 2015, Atlant Telecom and TeleSet reported around €16 million in operating earnings and EBITDA of over €4 million respectively. A new major player will appear on the Belarusian telecommunications market as a result of the merger, the statement reads.

With Atlant Telecom’s expertise in fixed broadband Internet access and cable TV, velcom will become a truly diversified, converged operator, specialists believe.

Alejandro Plater, CEO & COO Telekom Austria Group, said: “The acquisition of Atlant Telecom is a further step in Telekom Austria Group’s convergence strategy. It will allow Telekom Austria Group to develop its Belarusian subsidiary velcom from a mobile-only player into a fully converged operator.”

Velcom Director General Helmut Duhs noted that the combination of the potentials of Atlant Telecom and velcom will contribute to further consolidation of the company’s position on the Belarusian market. Clients will be offered an expanded package of services, from mobile technologies to high-speed fixed broadband access, from cloud and OTT services to cable and digital television. The experience and competence of Telecom Austria Group will have a positive impact on the quality of Atlant Telecom services and the expansion of its client base.

The acquisition deal is expected to be completed in the coming days.