Max Telecom looking for additional investment

10 Feb 2014

Bulgarian WiMAX operator Max Telecom is reportedly looking for additional investment in order to launch Long Term Evolution (LTE) services in the country, local newspaper Capital reports. According to the article, the company is looking into several different options, including the possible sale of a non-controlling stake in the company, or the admission of new shareholders through an initial public offering (IPO) process. Further, an unnamed member of the management team has disclosed that the company had already led talks with a ‘major international financial institution’, which is willing to lend money, provided that it is able to share the risk with another investor. Max Telecom’s CEO Daniel Kupsin has been cited as saying: ‘Yes, it is true that we are looking for investors. I am looking for funding. And no wonder – I want to develop the company’, although the executive stopped short of providing the exact amount of funding needed.

According to TeleGeography’s GlobalComms Database, Max Telecom won an 1800MHz band technology-neutral mobile licence (with bandwidth of 2×8MHz) for BGN30.4 million (USD19 million) in December 2011. In June 2013 the company entered into a partnership with Nokia Solutions & Networks (NSN, formerly Nokia Siemens Networks) to build its LTE network overlay, in a deal reportedly worth BGN15 million; NSN will deploy its Evolved Packet Core (EPC) and radio access network infrastructure, in addition to providing maintenance services. Capital estimates that in order to commercially launch LTE services, Max Telecom needs an additional BGN35 million.

Bulgaria, Max (Bulgaria)