Vipnet, the Croatian subsidiary of Austria's national telco Telekom Austria, is to take over the largest Croatian cable operator B.neti a deal worth €93 million.
"The convergence of fixed and mobile communication has become a predominant feature in the telecommunication sector and represents a key pillar of Telekom Austria Group's strategy", said Hannes Ametsreiter, CEO of Telekom Austria.
"The acquisition of a cable operator will allow Vipnet to participate in the anticipated strong growth of fixed broadband, TV-services and convergent products in the Croatian market and to position itself as a fully integrated operator."
B.net offers TV, telephony and internet on its cable network. Among broadband providers, the company has a market share of 7%, in the pay-TV area the market share is 22%.
B.net's network reaches 266,000 households, corresponding with 18% of the total households. 119,900 households have signed up for the company's services.
The transaction, which is expected to be completed in the second half of 2011, is subject to approval by the Croatian competition authority.