Deals of the year 2012 - Magyar Telekom sells Pro-M Zrt
The Budapest Business Journal presents the most significant deals of the year 2012 in private equity, M&A, foreign direct investments and capital outflows and JEREMIE transactions. And the winners are...
The Budapest Business Journal presents the most significant deals of the year 2012 in private equity, M&A, foreign direct investments and capital outflows and JEREMIE transactions. And the winners are...
Every year, the Budapest Business Journal attempts to present the most significant deals of the past 12 months. However, since only a fraction of these are made public, and of the few that are only a minority disclose a transaction value, the task is a real challenge. Due to the lack of transparency and reliable data on the transactions market, the results are based not only on publicly available facts, but also on expert opinions gained during our numerous consultations with some of the industry’s most well-known and respected specialists, as well as on subjective judgments.
For the first time, the Budapest Business Journal separated private-to-private market transactions from deals where the state was the buyer, as most experts categorically refused to include such deals in the survey. However, as increasing government activity has contributed to deal flow in several sectors, we think it is important to list the major state-related deals in order to get the full picture of the transaction landscape in Hungary.
Deal of the year: Transactions with the state
Telecom sector: Magyar Telekom sells Pro-M Zrt
Telecom service provider Magyar Telekom signed a share purchase agreement to sell its 100% stake in Pro-M Zrt to the state-owned National Infocommunications Service Company Ltd for HUF 19.9 bln in August.
Magyar Telekom and T-Mobile Hungary established Pro-M in 2005 to build and operate a national Unified Digital Radio Network (EDR) system in Hungary. EDR is a national 380-400MHz band professional mobile radio network used by the emergency services, such as the police, fire departments and ambulance services. EDR runs on terrestrial trunked radio (TETRA) technology, the international standard for public safety and security mobile radio communications. The National Infocommunications Service Company is responsible for operating telecom infrastructure in the public sector.
Source: The Budapest Business Journal
