Romania-based Digi Communications has announced a preliminary, non-binding agreement to sell a 100% stake in its Hungarian operations to local ICT group 4iG for an undisclosed sum. The two parties aim to complete the deal for DIGI Hungary and its subsidiaries Invitel and I TV by September 2021, subject to due diligence, the signing of a sale and purchase agreement, and the necessary competition authority approvals, Digi revealed in a press release.
Digi Communications’ announcement comes after it lost any chance of obtaining a 5G licence in Hungary; in February the country’s Supreme Court rejected its appeal against the Hungarian telecoms regulator’s decision to exclude the group from the 5G frequency auction completed in March 2020.
DIGI Hungary provides cable TV, fixed internet and data, mobile services, fixed line telephony, and DTH services. It served more than 1.1 million subscribers nationwide and had over 2.5 million RGUs as of 31 December 2020. In 2020 the group’s consolidated sales revenue in Hungary was HUF70 billion (USD227 million) and its adjusted EBITDA reached HUF19 billion.