Sercomtel sold to Bordeaux Investment Fund

19 Aug 2020

Brazilian regional operator Sercomtel Telecomunicacoes has announced that it has been acquired by Bordeaux Fundo de Investimentos (Bordeaux Investment Fund) after its majority shareholder, the City Council of Londrina, staged a privatisation auction via the B3 stock exchange in Sao Paulo. Bordeaux Investment Fund was the only bidder to participate in the auction, which involved an upfront fee of BRL50 million (USD9.1 million), alongside a BRL80 million commitment which ‘will be used according to the operator’s cash needs’. In addition, the fund acquired 38 million shares in the company from power company Companhia Paranaense de Energia (Copel) and various minority shareholders. The shares were acquired for BRL0.10 each, representing a premium on the BRL0.01 minimum value. The share sale means Copel has now relinquished its entire stake in the telco.

Sercomtel notes that the takeover is now subject to review by the Administrative Council for Economic Defence (Conselho Administrativo de Defesa Economica, CADE) and the National Telecommunications Agency (Agencia Nacional de Telecomunicacoes, Anatel).

Brazil, Sercomtel