Grupo MASMOVIL considering Portugal entry; KKR reaching out to European telcos

15 May 2019

US private equity firm KKR & Co – which acquired Cabolink, the holding company which operates local ISPs Nowo (formerly Cabovisao) and Onitelecom (ONI), from Apax France late last year – has reportedly reached out to Spanish alternative operator Grupo MASMOVIL with the offer of a strategic stake in the combined Portuguese telecoms business. According to El Economista, which cites sources familiar with the matter, KKR’s proposal has also been extended to other European telecoms groups, although no valuations have been discussed.

KKR is understood to have acquired the business in 4Q18 after converting the debt it was owed into a controlling stake and has no long-term ambitions within the Portuguese telecoms sector. Previously, back in September 2015 Altice agreed to sell Cabovisao and ONI to Apax France for EUR140.6 million (USD161.6 million). The deal, which was part of the EC mandate relating to Altice’s takeover of PT Portugal (MEO), closed in January 2016.