Denmark’s TDC Group has said it is set to create ‘Scandinavia’s leading cable-TV company’ having revealed that it is to acquire Norwegian cableco Get AS. Under the terms of the deal TDC Group has said it will pay NOK13.8 billion (USD2.17 billion) for Get, with the purchase to be debt financed, while the Danish company will simultaneously reduce its dividend payout.
Get, which primarily focuses on residential and smaller business customers, currently serves more than 500,000 households and owns a widely distributed cable-TV network that, combined with partner networks passes more than 700,000 households; TDC Group claims it is ‘the fastest growing and most profitable provider’ in the Norwegian market. Meanwhile, the Danish company’s existing Norwegian subsidiary – TDC Norway – owns a fibre based transmission network and focuses on large scale business customers.
The acquisition remains subject to approval from the Norwegian competition authorities, though TDC Group has said it expects the transaction to close in Q4 2014.
Commenting on the deal, TDC CEO Carsten Dilling noted: ‘The acquisition of Get is TDC Group’s most significant investment in many years. We have awaited this opportunity and see it as a natural and timely extension of our business and it marks an evolution of TDC Group into a leading Scandinavian provider of TV, home entertainment and high speed broadband on the cable platform. It is also a strategic move into the consumer market in Norway within an industry we know very well from having run our YouSee cable business in Denmark successfully for years.’