Credit crunch prompts TDC to abandon HTCC (Invitel) sale

Danish telco TDC says it is dropping its plans to sell its US-listed Hungarian alternative fixed line operator, Hungarian Telephone and Cable Corp (HTCC), due to the economic turmoil in the global market. TDC put the unit up for sale in July but is shelving its proposed sale of its 64.6% stake saying it ‘has determined that, at this time, in light of the current period of uncertainty in financial and economic conditions, HTCC will continue to pursue its strategy as a publicly-traded company while continuing to consider initiatives to enhance shareholder value.’ HTCC operates under the brand name Invitel in Hungary and is the nation’s second largest operator with more than a million customers. The Danish telco, owned by a consortium of private equity firms consisting of Apax Partners, Blackstone Group, Kohlberg Kravis Roberts, Permira and Providence Equity Partners, will monitor its HTCC investment on an ongoing basis.