Cyfrowy Polsat agrees Polkomtel merger

17 Jan 2014

Polish media group Cyfrowy Polsat has agreed to a PLN6.15 billion (USD2.01 billion) share issue to buy mobile provider Polkomtel in a share-swap deal, Reuters reports. Shareholders accepted a plan outlined by Polish billionaire Zygmunt Solorz-Zak to merge the two companies – both of which are controlled by the media mogul – to ease the group’s debt burden. The deal will see Cyfrowy purchase a controlling stake in Polkomtel’s holding company Metelem, giving the latter’s owners a 45.53% stake in the enlarged group. The European Bank for Reconstruction and Development (EBRD), a minority shareholder in Metelem, agreed to buy a 7.4% stake in the merged company. The deal is expected to be completed by mid-2014.

Poland, Cyfrowy Polsat, Plus (Polkomtel)