Tag Archive: OTE

Mixed fortunes for OTE and Telekom Romania

OTE’s pay-TV business reached break-even on a standalone basis last year, while its subsidiary Telekom Romania continued to operate in challenging conditions.

The latest results published by the Greek incumbent show that in its home market OTE TV ended 2015 with a combined total of 446,499 IPTV and satellite subscribers, or 26.3% more than a year earlier.

The increase, coupled with higher ARPU – up 26% in Q4 2015 – helped the pay-TV business reach break-even.

Meanwhile in Romania, Telekom Romania ended 2015 with a combined total of 1,452,499 DTH, IPTV and cable subscribers, or 2.7% more than a year earlier. TV revenues increased by 4% during the year, whole those for fixed voice and internet fell by 17% and 3% respectively.

Telekom Romania is now selling exclusive fully convergent offers in order to raise its customer appeal, reduce churn and improve its competitive position.

The OTE group, which also includes Telekom Albania, had revenues of €3,902.9 million in 2015 (-0.4%) and EBITDA of €1,220.5 million (-11.9%).

Its adjusted net income was €240.3 million (-24.3%).


source: http://www.broadbandtvnews.com/2016/02/25/mixed-fortunes-for-ote-and-telekom-romania/

OTE secures €700m

The Greek incumbent OTE has raised €700 million from international markets through the issue of a six-year fixed-rate bond.

With the coupon set at 3.5%, the issue was heavily oversubscribed, the total demand exceeding €2.5 billion.

Out of the €700 million, around €500 million was raised by bondholders who expressed intention to tender bonds maturing in February 2015 and May 2016 in order to subscribe to the new bond.

According to OTE, the bond issue is part of the multi-layered refinancing strategic plan, which OTE has been successfully implementing over the past few years.

OTE Group chairman and CEO, Mr. Michael Tsamaz stated: “It is a vote of confidence of the international capital markets to both Greece and OTE.

The demand for the new bonds that we will issue is an acknowledgement of our strategy as well as of the prospects of the recovering Greek economy.”

Source: broadbandtvnews.com

OTE lodges Nova bid

OTE has submitted a non-binding offer to Forthnet for the acquisition of its Nova pay-TV operations. The Greek incumbent says it is in the range of €250-300 million on a debt free/cash free basis and that in the event an agreement is reached will be subject to clearance from the competent authorities.

It adds that Barclays is acting as its financial advisor.

Explaining why it has made the bid, OTE says that it “has been developing its pay TV operations successfully during the past few years and sees significant growth potential for Greek pay TV services, to the benefit of consumers. OTE believes the intended agreement will be beneficial to all involved parties and is consistent with OTE Group’s strategic priorities”.

Analysing the offer, Ekathimerini says that it raises Nova’s buyout price as it is seen to include a premium 25% on the current valuation level.

Given that Wind Hellas submitted a €200 million offer for Forthnet’s telecom activities a year ago, the total package of the listed company adds up to €500 million.

However, it will fall short of the original investment of the main shareholder Emirates International Telecommunications, which spent around €250 million on building up its 44% stake in Forthnet.

OTE may nevertheless face a struggle to acquire Forthnet, as its competitors Vodafone and Wind Hellas hold 40% of the company between them and would like to eventually control the company outright.

They believe the main value of the company is in the pay-TV platform.

OTE already has a presence in the Greek TV market through an IPTV service named OTE TV.

It also backs the Romanian incumbent Romtelecom, which is a key player in that country’s TV industry.

Source: broadbandtvnews.com

OTE targets DTH platform

OTE is preparing a bid for the alternative telco Forthnet, whose interests include the Greek DTH platform Nova.


Speaking at the group’s general meeting and quoted by Ekathimerini, Michalis Tsamaz, the Greek incumbent’s chairman and CEO, said that it is “assessing the situation” at Forthnet and “conducting the necessary contacts”.

This effectively confirms previous reports that OTE is in talks with a foreign lender in order to make a bid for Nova.

Tsamaz also spoke about the need for further consolidation in the Greek telecom market.

OTE currently operates an IPTV service named OTE TV in its home market and backs Romtelecom, one of the leading providers of pay-TV services in Romania.

Forthnet is currently owned by Emirates Telecommunications International – ETI (44%), along with OTE’s competitors Vodafone and Wind Hellas (just under 40%).

Source: broadbandtvnews.com

via @videomageu