GO finalises acquisition of shareholding in Cablenet
Following the necessary regulatory approval from the Competition Authority in Cyprus, GO plc, Malta’s leading quad play telecommunications company, has finalised the acquisition of 25 per cent of the shareholding in Cablenet Communications Systems Limited from Nicolas Shiacolas, beneficial owner of Cablenet’s entire issued share capital.
GO will be acquiring this shareholding in exchange for a convertible loan of €12 million to Cablenet which, at GO’s option, may be converted into equity so that, upon conversion, GO’s total shareholding would be equal to 45 per cent of Cablenet’s issued share capital.
GO also has the option to acquire majority control of Cablenet in the future should it wish to do so.
Cablenet was the first Cypriot operator to offer a triple-play package covering TV, fixed telephony and high-speed internet access, and is now the leading privately owned broadband provider in Cyprus offering packages which include broadband internet access, fixed telephony and digital HD TV to more than 43,000 subscribers.
Mr Yiannos Michaelides, CEO at GO, said: “In March 2014 we had made our initial announcement about our agreement to purchase a shareholding in this operation, which has rapidly established itself as the provider of high value internet and TV services in Cyprus.’’
‘’It is our assessment that Cablenet has interesting potential for further growth and we also see synergies between GO and Cablenet and between Malta and Cyprus. We believe that, by pursuing this growth opportunity, we will be able to generate further value for all our respective shareholders.”
Now that all the required regulatory approval has been received, GO will be appointing Mr Yiannos Michaelides, Mr Nikhil Patil and Mr Edmond Brincat to Cablenet’s Board of Directors.
GO will also be appointing Dr Francis Galea Salomone as Cablenet’s Company Secretary.