Mobile communications operator Bite Latvija has signed a purchase contract to acquire telecommunications company Baltcom for an undisclosed price. Until permission is received, both companies will continue operating independently.
A step closer to the company’s long-term development aims
Says manager Kaspars Buls of Bite Latvija: “I am satisfied with the agreement reached; this is a strategically significant step towards strengthening the competitiveness of the Bite Group. Our clients will be the winners as a result of the deal; and in addition to the mobile communication services and ICT solutions on offer to corporate clients we will be able to offer home internet and a variety of TV channels to individuals. The telecommunications market is presently dominated by a tendency to choose integrated services. So, I expect that it will not be long before clients increasingly use the option to benefit from a range of services from a single provider.”
More about the businesses involved
In 2018, Bite Latvija boasted turnover of 99,978 million EUR and profit of 14,964 million EUR.
Registered in May 2005 Bite Latvija’s sole owner is Bite Lietuva, a company forming part of international asset management company Providence Equity Partners.
In comparison, Baltcom’s turnover was 17,099 million EUR last year, exceeding the previous year’s turnover by 3.4%, while the company’s losses fell by 48.6% to 1,914 million EUR.
Baltcom, registered in May 1991, is solely owned by Rpax One S.A., registered in Luxembourg.
Our team and role in the transaction
We represented the seller and drafted the entire legal documentation for the transaction, provided legal assistance in selection of potential buyers, transaction negotiations and signing the contract.