Cinven set to raise offer for Telekom Slovenije

21 May 2015

UK-based private equity firm Cinven has reportedly raised its offer for the Slovenian government’s majority stake in national fixed and mobile operator Telekom Slovenije. Cinven’s earlier offer of EUR110 (USD122) per share had been labelled as too low by some opponents of the deal, but a report from Reuters now suggests that the firm is preparing to pay up to EUR130 per share for the state’s 72.75% interest plus some shares held by minority investors. The new offer, which is worth around EUR1.2 billion including debt, comprises an upfront cash payment of EUR110 per share, an additional payment of EUR15 a share which is dependent on the outcome of ongoing legal cases involving the telco, plus a further EUR5 per share depending on the company’s performance, Reuters cites an unnamed source as saying. The privatisation of Telekom Slovenije had been expected to go ahead last year, but there have been a number of postponements and delays, while the list of potential bidders slowly dwindled until only Cinven remained.

Slovenia, Telekom Slovenije (incl. Mobitel)