Imagine and NTR Consolidate Irish Telecoms Industry
29 Apr 2008
Imagine Communications Group today (29 April 2008) announced that it has acquired Irish Broadband from NTR and Kilsaran Concrete in a move which will create an enlarged Group with annualised revenues of over €100m. Following the transaction NTR and Kilsaran will hold a combined 25% interest in the enlarged Group.
The €47m deal, which values the enlarged Imagine Group at €187m, firmly establishes Imagine as the number 1 alternative provider of communications solutions in Ireland with:
· 12% share of the critical SME market with 15,000 business customers
· 10% share of the Broadband market with over 80,000 customers
· 5% share of the total residential market with over 115,000 customers
Imagine Group is acquiring the business from NTR and Kilsaran on a debt free basis. In addition, NTR and Kilsaran will jointly make a further investment of €7m in the Imagine Group in support of the enlarged Imagine Group’s strategy.
Commenting on the deal, Imagine Chairman Sean Bolger said, “We are delighted to have concluded this transaction which establishes Imagine as the No 1 competitor in the Irish market. Strategically we have acquired substantial network and spectrum assets on a nationwide basis which enhances our current service offerings and which facilitates the cost-effective deployment of WiMAX technology.”
Jim Barry, Chief Executive Officer, NTR plc said: “We are delighted to have concluded an agreement with Imagine. They are well established in the telecommunications sector and are ideally positioned to capitalise on the opportunity that has been presented by this transaction.”
The acquisition of Irish Broadband is directly complementary to the Imagine Groups strategy of capitalising on emerging WiMAX technology, which will allow Next Generation Voice and Data services to be offered to business and residential customers across Ireland.
Goodbody’s acted as advisor to NTR and Kilsaran.