German cable operator Tele Columbus has successfully implemented a capital increase by way of a rights offering resolved on 17 April 2021. All offered shares were either subscribed for based on the exercise of subscription rights or based on the acquisition of unsubscribed shares by Kublai, the new majority shareholder of the company. The gross proceeds generated by the capital increase will amount to approximately EUR475 million (USD575 million) and will be used to achieve a sustainable capital structure and to further implement Tele Columbus’ ‘Fibre Champion’ strategy.
As previously reported by CommsUpdate, Kublai, which is backed by Morgan Stanley Infrastructure Partners, completed its public takeover offer of TeleColumbus last month. By the end of the further acceptance period on 1 April 2021, the takeover offer was accepted for over 79 million shares, equivalent to a stake of approximately 62.06% in Tele Columbus. As part of the closing of the offer, United Internet also contributed its stake of around 29.90% to Kublai, increasing the shareholding to 91.96%.