PPF Group weighs up options to buy Czech mobile incumbent, report says

23 Sep 2013

The PPF Group, headed by the Czech Republic’s richest man Petr Kellner, is said to be weighing up plans to acquire one of the country’s three incumbent mobile operators – Telefonica O2 Czech Republic, T-Mobile CR and Vodafone CR – following a dip in market valuations, TMT Finance reports. The Group is touted as a likely winner of one of the government’s 4G licences – due to be sold off shortly – but strongly opposed by ‘big three’. However, unnamed sources suggest that Kellner’s company is also working on a plan and keeping an open mind vis-a-vis a possible acquisition. ‘Logically and strategically it makes more sense for PPF to acquire one of the incumbents rather than acquire a new licence. Valuations have slumped for all three due to talk of a new entrant, so it makes more business sense to enter the market that way rather than through the auction,’ one unnamed source is quoted as saying.

The development comes amid growing rumours that both Telefonica of Spain and German giant Deutsche Telekom (DT) are considering exiting the Czech mobile market, presenting an attractive opportunity for PPF.

Czech Republic