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Digi Communications N.V.

M&A Activity Mar 30, 2021

6226_iss_2021-03-29_ea6b8eba-6133-41fa-a210-c91a33fa4202.pdf

M&A Activity

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To: The Romanian Financial Supervisory Authority Financial Instruments and Investments Sector The Bucharest Stock Exchange Regulated Spot Market, Category Int'l (Shares) From DIGI COMMUNICATIONS N.V.

CURRENT REPORT

pursuant to Law no. 24/2017 on issuers of financial instruments and market operations and to the Romanian Financial Supervisory Authority Regulation no. 5/2018 on issuers and operations with securities, as subsequently amended and supplemented and the provisions of Article 99 of the Bucharest Stock Exchange Code, Title II, Issuers and Financial Instruments

Report date: 29 March 2021
Name of the issuing entity: DIGI
COMMUNICATIONS
N.V.
(the
"Company")
Statutory seat: Amsterdam, The Netherlands
Visiting address: Bucharest,
75
Dr.
N.
Staicovici,
Forum
2000
Building, Phase I, 4th floor, 5th District, Romania
Phone/Fax number: +4031.400.65.05/ +4031.400.65.06
Registration
number
with
The
Netherlands
Chamber
of
Commerce Business Register and
Dutch
Legal
Entities
and
Partnerships
Identification
Number (RSIN):
Registration number with The Netherlands Chamber
of
Commerce
Business
Register:
34132532/29.03.2000
RSIN: 808800322
Romanian Tax Registration Code: RO 37449310
Share Capital: EUR 6,810,042.52
Number of shares in issue: 100,000,000 (out of which (i) 64,556,028 class A
shares with a nominal value of ten eurocents (€ 0.10)
each and (ii) 35,443,972 class B shares, with a
nominal value of one eurocent (€ 0.01) each)
Number of listed shares: 35,443,972 class B shares
Regulated market on which
the
issued securities are traded:
Bucharest Stock Exchange, Main Segment, Category
Int'l (Shares)

Important events to be reported: 4iG and the Company's Romanian subsidiary have entered into a term sheet with regards to a potential acquisition by 4iG of DIGI Group's Hungarian operations

The Company would like to inform its investors and the market that on March 29, 2021 the Company's Romanian subsidiary and 4iG Plc. (4 iG Plc.) one of the leading companies of the Hungarian IT and ICT market, entered into a preliminary, non-binding agreement regarding the acquisition of DIGI Távközlési Szolgáltató Ltd. (Digi Hungary) and its subsidiaries, Invitel Ltd. and I TV Ltd. Pursuant to the understanding of the parties, 4iG would acquire a 100 percent stake in Hungary's leading telecommunications and media service group. The acquisition is aimed to be completed by September 2021, subject to the due diligence of Digi Hungary and its subsidiaries, the signing of a sale and purchase agreement, and the necessary competition authority approvals.

Digi Hungary is a leading telecommunications service provider in Hungary, with 23 years of experience and a broad service portfolio covering cable TV, fixed internet and data, mobile telecommunication services, fixed-line telephony and Direct To Home (DTH) services. It serves more than 1.1 million subscribers nationwide and has over 2.5 million Revenue Generating Units (RGUs) as of 31 December 2020.

In 2020, Group's consolidated sales revenue in Hungary was HUF 70 billion (approx. EUR 200 million) and its adjusted EBITDA reached HUF 19 billion (approx. EUR 54 million).

4iG Plc. is one of the leading companies of the Hungarian IT and ICT market, plays a leading role in Hungary's knowledge-based digital economy. 4iG has been present in the field of industry and industry-independent innovative technologies for more than 25 years.

Serghei Bulgac

Chief Executive Officer

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