Stofa sold to Danish energy group
October 26, 2012 11.18 Europe/London By Julian Clover
Ratos has sold its entire holding in the Danish cablenet Stofa to the energy and telecom group Syd Energi (SE).
The DKK1,900 million (€254 million) transaction at enterprise value is subject to approval from the relevant regulatory authorities and SE’s board of representatives.
Stofa serves some 375,000 Danish households with cable TV and almost 200,000 with broadband. It sells its services both direct to customers and through about 300 antenna associations around the country.
Ratos acquired Stofa in summer 2010 and has subsequently focused on improving efficiency at the second largest cablenet behind TDC’s YouSee. In addition it has acquired a substantial part of Telenor’s TDC network.
“Stofa is a fine and well-invested company which we would have gladly owned for a few more years since we have not yet shown its full potential,” said Ratos CEO, Susanna Campbell. “The many measures and investments carried out are expected to provide good earnings development in the years ahead. But since our discussions with SE, which is a very logical buyer, have resulted in them wishing to buy at a price which takes the company’s position and prospects into account, we have agreed to sell.”
Sales rose from DKK1,024 million in 2009 to DKK1,146 million in 2011 and during the same period operating profit rose from DKK92 million to DKK146 million.