EB Capital lines up seven ISP takeovers

9 Apr 2021

Brazilian private equity fund EB Capital is poised to unveil a series of seven ISP takeovers between now and June, as it seeks to consolidate the country’s fragmented regional fibre market. The transactions will account for around 80% of the BRL1.5 billion (USD268.1 million) war-chest that EB has set aside for telecoms M&A activity.

The identities of the ISPs in question will only be revealed once the final contracts are signed and regulatory approvals have been received. Pedro Parente, CEO of EB Fibra, the company’s broadband unit, told NeoFeed: ‘With these acquisitions, we will reach one million subscribers and BRL1 billion in revenue by the end of 2021.’

EB Capital, which is run by Eduardo Sirotsky Melzer, Fernando Iunes, Luciana Antonini Ribeiro and the aforementioned Parente, already owns a controlling stake in regional operator Sumicity. The takeover of a 60% stake was agreed in December 2018 and concluded in April 2019. Subsequently, in August 2020, EB acquired a controlling stake in regional B2B operator Mob Telecom.

Brazil, EB Capital, Mob Telecom (Brazil), Sumicity