Acquisition of Canal Digital's cable TV business in Denmark will not take place
This information is disclosed in accordance with the Securities Markets Act, the Financial Instruments Trading Act or demands made in the exchange rules.
Ratos's subsidiary Stofa signed an agreement in January to acquire Canal Digital's Danish cable TV business. In view of the fact that the chances of obtaining approval from the competition authority are low, Telenor and Ratos have decided to terminate this process.
At the end of March, the Danish Competition Authority announced that an in-depth competition review would be initiated. Intensive discussions have been held with the competition authority, but the assessment is that chances of obtaining approval are low. In consultation with Telenor, Ratos has therefore decided to terminate this process.
"Of course it is unfortunate that we have not achieved our aim in discussions with the competition authority and are therefore forced to terminate the acquisition process," says Ratos CEO Arne Karlsson.
"Stofa has so far exceeded our expectations in conjunction with the acquisition and our original business plan was based exclusively on continued organic growth of these operations. Canal Digital, however, would have complemented Stofa well and been able to create added value, both for customers and for Stofa," Karlsson continues.
Stofa is a Danish triple-play operator (broadband, cable TV and telephony) which provides some 350,000 Danish households with cable TV and 40% of them with broadband as well. The services are delivered in close co-operation with 300 antenna associations throughout Denmark. In addition, Stofa also sells to end- user subscribers who are offered interactive TV services (pay TV), broadband and IP telephony.
For further information, please contact:
Arne Karlsson, CEO, +46 8 700 17 00
Emma Rheborg, Head of Corporate Communications and IR, +46 733 80 22 63
Financial calendar from Ratos:
Interim Report January - June 2011 19 August 2011
Interim Report January - September 2011 9 November 2011
Ratos is a private equity conglomerate. The company's mission is to maximise shareholder value over time through the professional, active and responsible exercise of its ownership role in primarily medium to large unlisted Nordic companies. Ratos's holdings include AH Industries, Anticimex, Arcus-Gruppen, Biolin Scientific, Bisnode, Contex, DIAB, EuroMaint, Finnkino, GS-Hydro, Hafa Bathroom Group, HL Display, Inwido, Jøtul, KVD Kvarndammen, Lindab, Medisize, Mobile Climate Control, SB Seating and Stofa. Ratos is listed on Nasdaq OMX Stockholm and market capitalisation amounts to approximately SEK 38 billion.