HTCC to buy controlling stake in Memorex Telex Communications

Alternative operator Hungarian Telephone and Cable Corp (HTCC) yesterday announced it has reached an agreement to buy a 95.7% stake in Austria-based alternative infrastructure provider, Memorex Telex Communications – which owns fixed line infrastructure in central and eastern Europe. HTCC will pay USD130.3 million for the equity stake, including the assumption of approximately USD86.7 million in debt and a cash payment of USD43.6 million. HTCC will fund the acquisition and the refinancing of the assumed Memorex debt with a subordinated bridge loan facility arranged by Merrill Lynch and BNP Paribas, it said in a statement.