ForthNet issues bond to refinance debt and fund expansion

20 Dec 2005

Greek alternative telco ForthNet has issued a EUR50 million bond to refinance existing loans and help fund its broadband expansion plans. ForthNet was established in October 1995 and boasts a comprehensive portfolio of wireline telephony and internet services, such as access services via PSTN, ISDN and ADSL networks, permanent links and pre-paid access time cards. It plans to have 30,000 ADSL subscribers by the end of 2006.

Last month Icelandic venture capital group Novator Equities paid an estimated USD7.5 million for an additional 4.2% stake in ForthNet to make it the majority shareholder in the telco with a 26.3% stake, ahead of Greek investment firm Intracom with 22.99%. Intracom failed in its attempts to raise its own stake with a public offer shortly afterwards and is now in negotiations to acquire an unnamed rival telecoms operator.

Greece, Nova (formerly Forthnet)