Norway's LINK Mobility Group Seeks Nod To Acquire Bulgaria's Allterco Units
Wednesday, 17 April 2019
Norway's LINK Mobility Group is seeking approval from Bulgaria's competition authority to acquire five telecommunications subsidiaries of Sofia-based Allterco, according to a notice published by the regulator on Tuesday.The acquisition concerns Allterco's units in Bulgaria - Teravoice, Tera Communications and Allterpay, as well as its Romania-based subsidiary Teracomm RO and Macedonia-based Tera Communications DOOEL, according to the document. Interested parties can submit their positions regarding the deal to the regulator by April 23.In December 2018, Allterco received approval from its shareholders to sell its five subsidiaries to LINK Mobility Group for at least 7.9 million euro ($8.9 million).The indicative price of the transaction equals the combined annual adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) of the five companies multiplied by 5.5. The final price will be calculated on a cash free/debt free basis.One-third of the price will be paid upon the signing of the final agreement, while a further one third will be paid as seller’s credit with quarterly payable 4.75% interest per annum and a maturity date 3 years after closing. The remaining one third will be paid in LINK Mobility Group shares, valued at the share price at close of trading on the Oslo Stock Exchange on the last trading day preceding the signing of the term sheet, which was 139.80 Norwegian crowns per LINK share.