Owners of Bulgaria's Vivacom offer to buy out minority shareholders

The owners of Vivacom on Monday offered to buy out minority shareholders in the Bulgarian telecoms group in a deal that would value the company at about $557 million, Reuters reported.The offer marks the latest stage in a restructuring of the telecoms company, which was saddled...

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Owners of Bulgaria's Vivacom offer to buy out minority shareholders



bne - 29.01.2013

The owners of Vivacom on Monday offered to buy out minority shareholders in the Bulgarian telecoms group in a deal that would value the company at about $557 million, Reuters reported.

The offer marks the latest stage in a restructuring of the telecoms company, which was saddled with huge debts after a 2007 buyout by U.S. insurer AIG, which subsequently sold Vivacom to PineBridge Investments.

Late last year, Bulgarian banker Tsvetan Vasilev, through his company Bromak, and Russian bank VTB Bank sealed a 1.7 billion euro restructuring deal with Vivacom creditors. Under this deal, Bromak ended up with about 43.3 percent of the telecoms company, VTB Bank 33.3 percent and a number of banks 17.5 percent. This was after writing off 1 billion euros of debt. The new owners VTB and Bromak pledged to delist the company 18 months after sealing the deal.

Source: bne


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