H1 Telekom makes pre-bankruptcy filing

29 Jul 2013

Alternative Croatian telco H1 Telekom has filed a request for a pre-bankruptcy settlement, after stating that the total debts of the company amounted to HRK297.35 million (USD52.6 million), reports local newspaper Poslovni Dnevnik. H1 Telekom indicated that a pre-bankruptcy settlement would be the first step in a wider financial restructuring, and that it would have no impact on the operational management of the business or employee status. H1 Telekom employs 178 people, while last year its revenues grew to HRK220 million and it posted a net profit. H1 Telekom also said that it continued to increase its user base and was continuing to focus on its current campaign of winning new VDSL2 customers.

Last month CommsUpdate reported that mobile, broadband, fixed line and pay-TV operator VIPnet, part of the Telekom Austria group, was looking at the possibility of acquiring H1 Telekom. Earlier in June, VIPnet acquired the consumer division of another Croatian altnet which is currently attempting financial restructuring, Metronet. Earlier this month a third local altnet, Optima Telecom – which began a restructuring process in April to avoid bankruptcy – had its planned strategic partnership with incumbent PSTN operator T-HT blocked by the Croatian Competition Agency, according to CommsUpdate.