Orange Belgium announces the signing of an agreement with Nethys to acquire 75% minus one share in VOO SA
December 24 2021 - 9:01AM
Orange Belgium announces the signing of an agreement with Nethys to
acquire 75% minus one share in VOO SA
- Following the period of exclusive negotiations that
began on 22 November and the approval of the board of directors of
Enodia, Orange Belgium and Nethys have today signed an agreement
for the acquisition by Orange Belgium of 75% less one share of VOO
SA
- The transaction is based on an enterprise value of €1.8
billion for 100% of the capital.
- This acquisition represents a major step forward in
Orange Belgium's national convergent strategy and will increase
investment and competition in the telecommunications sector for the
benefit of customers and the competitiveness of the Walloon and
Brussels regions.
VOO is a telecom operator that owns the cable
network in the Walloon region and part of the Brussels region. VOO
offers a portfolio of fixed and mobile telephony, broadband
Internet and television services.
With the acquisition of VOO, Orange Belgium will
have a very high-speed network in Wallonia and part of Brussels,
thus reinforcing the deployment of its convergent strategy at
national level.
The investment plan, consisting of cable
modernisation and fibre optic (FTTH) rollouts, and the pooling of
the two companies' skills will make it possible to ensure and
strengthen the quality of VOO's network in the long term, serving
customers and the competitiveness of the Walloon and Brussels
regions.
Orange's industrial project, the complementary
nature of its assets and teams and the excellent working conditions
within the two companies will offer attractive prospects for the
employees of VOO and Orange Belgium. Orange Belgium is committed to
developing WBCC, VOO's call centre, and intends to strengthen
BeTV.
Nethys will retain a minority stake in VOO and
governance rights to guarantee the implementation of the industrial
and social project. Orange is offering Nethys the possibility of
converting its stake in VOO into Orange Belgium shares to secure
the development of VOO and Orange Belgium through further
integration between the two companies.
The enterprise value of €1.8 billion for 100% of
the capital corresponds to an EBITDA1 multiple of 9.5x. This
transaction will generate significant synergies, mainly related to
the transfer of VOO's MVNO business to Orange Belgium's network.
Post synergies, the EBITDA multiple amounts to 6.5x. Orange
Belgium, which currently has a very low debt leverage, will finance
this transaction through an intra-Group loan.
The closing of the transaction is subject to
customary conditions precedent, including the approval of the
European Commission expected in 2022. Until such approvals and
closing of the transaction are obtained, the two companies will
continue to operate independently.
Mari-Noëlle Jégo-Laveissière, Executive Vice
President, Orange Europe Operations, said: "This acquisition
reinforces Orange's leadership in convergence in Europe and
confirms the Group's long-term commitment in Belgium. This
operation is based on a strong industrial project, drawing on the
complementary nature of Orange Belgium and VOO.”
Xavier Pichon, CEO of Orange Belgium, said: "25
years after the creation of Mobistar and 5 years after the launch
of our first fixed-line offers, this operation reinforces the
deployment of Orange Belgium's convergent strategy at national
level. Our investment plan will enable us to upgrade the network to
multi-gigabit for the benefit of customers and the competitiveness
of Wallonia and Brussels. The merger of Orange Belgium and VOO, two
companies with highly complementary assets and skills, will benefit
the employment and development of the employees of both
companies.”
For further information about the transaction
please refer to the presentation that is available on the financial
section of the corporate website at Financial news.
About Orange BelgiumOrange Belgium is one of the major
telecommunication operators on the Belgian market, with over 3
million customers, and in Luxembourg, via its subsidiary Orange
Communications Luxembourg.As a convergent player, it provides next
generation connectivity services to residential customers through
multi-gigabits mobile, cable and optic fiber networks, also
relating to the Internet of Things. Its high-performance mobile
network is equipped with the latest technologies and benefits from
continuous investments preparing for the arrival of 5G. As a
responsible operator, Orange Belgium is also investing to reduce
its ecological footprint and promote sustainable and inclusive
digital practices.Orange Belgium is a subsidiary of the Orange
Group, one of the main operators in Europe and Africa for mobile
telephony and internet access and a world leader in
telecommunication services for companies.Orange Belgium is listed
on the Brussels Stock Exchange (OBEL). For more information go to:
corporate.orange.be, www.orange.be or follow us on Twitter:
@pressOrangeBe.
Press contactYounes Al
Bouchouari – younes.albouchouari@orange.com +32 (0)477 69 87
73press@orange.be
Investor RelationsKoen
Van Mol – koen.vanmol@orange.com +32 (0)495 55 14 99
1 VOO SA's forecast EBITDA for 2021 under Belgian GAAP (no
application of IFRS).
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