M&A Activity • Nov 19, 2015
M&A Activity
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The enclosed information constitutes regulated information as defined in the Royal Decree of 14 November 2007 regarding the duties of issuers of financial instruments which have been admitted for trading on a regulated market.
Agreement with MEDIALAAN for BASE Company's sale of all JIM Mobile customers and its 50% stake in Viking Co NV, the entity behind the 'Mobile Vikings' brand in Belgium. The agreements are conditional on competition authorities' approval.
Mechelen, 19 November 2015 – Telenet has today announced a new step in the acquisition process of BASE Company as it confirms that it has entered into agreements in the context of the European Commission's ongoing investigation of the proposed acquisition of BASE.
Telenet has signed an agreement with MEDIALAAN NV to transfer over time the entire JIM Mobile customer base to MEDIALAAN. The JIM Mobile products are currently sold under a 'branded partner' agreement that BASE Company and MEDIALAAN signed in 2010, whereby MEDIALAAN is responsible for the marketing of the JIM Mobile products and BASE Company for all other aspects of the mobile product. Following Telenet's acquisition of BASE Company, the 'branded partner' agreement would still continue for some time, but BASE Company would transfer, within a period of maximum two years, the JIM Mobile customers to MEDIALAAN, who would then become a 'full MVNO' player on the BASE network.
In addition Telenet would also sell the existing 50% BASE Company participation in VikingCo NV, the entity behind the 'Mobile Vikings' brand in Belgium, to MEDIALAAN. VikingCo is currently operating as a so-called 'light MVNO' on the BASE Company network. MEDIALAAN will also acquire control over the other 50% shares of VikingCo and thereby acquire the Mobile Vikings customers. It is the intention that MEDIALAAN shall also become a 'full MVNO' player on the BASE network with respect to this customer base within the above timeframe.
Both agreements create the platform for MEDIALAAN to become a new, high-performance MVNO player.
The conditional agreements with MEDIALAAN are subject to the approval of Telenet's acquisition of BASE Company by the European Commission and the approval by the Belgian Competition Authority of Medialaan's acquisition of VikingCo NV and the JIM Mobile customer base.
In April 2015, Telenet announced the signing of a definitive agreement for the acquisition of BASE Company. The transaction was reported to the European Commission by Liberty Global (as Telenet's majority shareholder) on 17 August 2015.
For the time being, customers of Telenet, JIM Mobile, Mobile Vikings and BASE itself are not affected.
| Investor Relations: | Rob Goyens | – [email protected] | – Phone: +32 15 333 054 |
|---|---|---|---|
| Thomas Deschepper | – [email protected] | – Phone: +32 15 366 645 | |
| Press & Media Relations: | Stefan Coenjaerts | – [email protected] | – Phone: +32 15 335 006 |
| Legal: | Bart van Sprundel | – [email protected] | – Phone: +32 15 333 495 |
About Telenet – Telenet is a leading provider of media and telecommunication services. Its business comprises the provision of cable television, high speed internet and fixed and mobile telephony services, primarily to residential customers in Flanders and Brussels. In addition, Telenet offers services to business customers across Belgium under the brand Telenet Business. Telenet is listed on the Euronext Brussels Stock Exchange under the ticker symbol TNET and is part of the BEL20 stock market index.
Additional Information – Additional information on Telenet and its products can be obtained from the Company's website http://www.telenet.be. Further information regarding the operating and financial data presented herein can be downloaded from the investor relations pages of this website. The Company's Consolidated Annual Report 2014 as well as unaudited condensed consolidated interim financial statements and presentations related to the financial results for the nine months ended September 30, 2015 have been made available on the investor relations pages of the Company's website (http://investors.telenet.be).
This document has been released on November 19, 2015 at 5:35 pm CET.
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