Reports in the Polish media say that Vectra has filed a notification with the Office of Competition and Consumer Protection (UOKiK) notifying it of its intention to become the sole owner of Multimedia Polska.
In a release, the two parties say that they have signed a term sheet setting out the conditions for Vectra’s acquisition of 100% of Multimedia Polska. They add that they are negotiating the provisions of the preliminary share purchase agreement, subject to the consent of the president of the UOKiK to carry out the concentration.
The news comes barely half a year after Liberty Global’s UPC Polska, the market leader, decided to pull the plug on its proposed acquisition of Multimedia Polska.
As previously reported by Broadband TV News, it was first announced in October 2016 that UPC Polska had agreed to buy Multimedia Polska in an all-cash transaction worth PLN3 billion (around $760 million).
However, this March UPC Polska decided to withdraw its offer after the UOKIK concluded that it would result in a significant restriction of competition in pay-TV and fixed-line services in 11 Polish cities.
Multimedia Polska currently lists its main shareholders as M2 Investments (51.93%) and TriMedia Holdings (46.49%).
Should the proposed deal go ahead, the combined Vectra/Multimedia Polska would become the largest cable operator in Poland, with around 1.65 million customers.
UPC Polska currently has some 1.43 million.