Telia’s management wants to buy the Danish telecommunications operator TDC, according to the sources of Di. It will be the largest acquisition in which a Swedish listed companies have done.
in Order to avoid being bought-in considering TDC a bid on the Swedish bredbandsoperatören Com Home, the hearts of Di.
posted for a dramatic year in the nordic operations sector. For Telia to be able to achieve its goal to become the leading operator, the company needs to make acquisitions. And according to Di’s sources is a bid on the TDC in the highest degree on the agenda for telekomjätten.
Gets the deal of making Telia, the largest acquisition of a listed company with headquarters in Sweden, has done, based on TDC’s enterprise value on a debt-free basis.
Telia to be able to finance a bid for TDC, which is valued at nearly 40 billion Swedish kroner in Copenhagen, the Swedish telecommunications operator more than likely make a new issue.
This is something that also reduces the chance for Telia to manage to acquire TDC, according to Di’s sources. There is a great deal of uncertainty about how the government, with the minister for enterprise, Mikael Damberg look at Telia makes major new share issue that dilutes the state’s ownership interest.
"a osäkerhetsparameter for Telia’s management to not know where the state stands on the issue of a new share issue to finance acquisitions that lead to the Telia become the leading telecom operator in the Nordic region," said a source to the Di in Thursday’s journal.
For Telia’s management, it is likely to be in a hurry to carry out an acquisition of the TDC.
cause it is that Telia is the only operator that is looking after TDC. The american private equity firm Apollo Global Management, who tried to buy the TDC in the autumn, is likely to continued interest in the Danish operator.
But the main reason why there is time pressure on Telia is that the TDC’s management, according to Di’s sources, intend to take measures which in practice makes it impossible for Telia to acquire TDC.
According to the Di:s data have TDC far past plans to place a bid on the Swedish broadband and cable operator Com Hem, which on the stockholm stock exchange are valued at almost sek 17 billion.
Com Hem was listed on the stock exchange by BC Partners in June 2014, and already then was the TDC interested in Com Hem.
About TDC buy Com Home can not Telia purchase TDC because the competition authorities would not approve it. With Com Home becomes Telia great on the broadband and cable in Sweden", says one of Di’s sources.
An acquisition of Com Hem also fits well for the TDC after the company in 2014, the Norwegian cable tv operator Get for 14 billion.
now hands around the TDC does not only affect Telia and Com Hem, but the whole of the nordic operations sector.
"the Situation in the TDC stir the pot. All must take a stand", says a source in the telecom industry.
According to the Di:s data have the TDC’s other alternatives to the acquisition which consolidates the nordic operator market if a deal with Com Hem may not be executed.
Sources estimate that the probability is greater that the TDC have time to make an offensive acquisition before Telia is ready to put a bid on the TDC.
Reason is uncertainty about the location of the principal owner, the Swedish state, is in the case of a rights issue. The uncertainty about the government’s attitude is giving rise to a growing frustration in Telia’s top management.
"the Structure of Telia’s corporate governance makes Telia completely paralyzed. It is a new proof of how bad it is for the company to have the Swedish government as the majority owner," says a source to the Di.
About TDC buy, Com Hem would Telia to resolve the situation by of an acquisition by TDC to divest Com Hem, but Di’s sources describe it as a complex transaction.
the Fact is, however, that Telia have already sold Com Hem at one time. It was in 2003, when the competition authorities require it to approve the merger with Finnish Sonera. Then bought Com Hem by private equity firm EQT.
According to the Di:s data did Telia an attempt to acquire TDC as early as 2013 or 2014, when Sweden was ruled by a bourgeois government. Plans stalled, however, because the parties have not agreed on the bid premium.
Di have no information on the centre-right government had given the go-ahead for a rights issue.
gambit in the Di in the summer of 2016, announced the Conservatives that they want to sell Telia if they win the election in 2018.
Chairman of the board of TDC since 2006, the Danish Vagn Sørensen, who also is the chairman of the listed hotel chain Scandic.
Cart Sørensen and Telia’s chairman of the board Marie Ehrling were both included in the SAS group management at the turn of the millennium.