CETIN concludes agreement on the acquisition of Nej.cz

CETIN a. s. has entered an agreement with the investment group KAPRAIN to acquire the Czech internet services provider Nej.cz.

If the transaction is approved by the Office for the Protection of Competition, CETIN will acquire a high-speed fibre-optic infrastructure which is available to half a million homes in several regions of the Czech Republic.

Nej.cz currently has almost a quarter of a million active customers (homes connected), to whom it provides mainly internet access, television content (IPTV) and voice services. In the B2B segment, it also operates three data centres and provides streaming services. In addition to other TV platforms, Nej.cz also operates the Kuki Internet TV platform.

The price, comfort and range of services provided to Nej.cz customers remain unchanged. Nej.cz remains the provider of internet connection services to end customers.

In the future, the connection of Nej.cz customers to CETIN's infrastructure will allow for further development and new features of the services provided. There is no change to CETIN's wholesale model, i. e. the provision of services to other operators.

"CETIN will make full use of Nej.cz infrastructure as well as the company's know-how and capabilities for further ambitious development of its telecommunications infrastructure," said Juraj Šedivý, Chairman of the Board of Directors of CETIN.

"We have built Nej.cz into the third largest player on Czech market primarily through acquisitions of the most interesting telecommunications companies across the country. However, at present, we do not see any more significant acquisition opportunities on the domestic market, and therefore no room for our own expansion. We have completed our investment cycle and we are selling Nej.cz at the right moment," explains Karel Pražák, founder of KAPRAIN Group.

"In a rigorous selection process involving dozens of domestic and foreign investors, CETIN submitted the best offer and proved to be the most suitable partner for the further development of the infrastructure and services Nej.cz provides to its clients," adds Marcel Dostal, Investment Director of KAPRAIN Group.

Deloitte Czech Republic acted as the transaction advisor in the sale, BBH provided legal services on the seller side and White & Case on the buyer side.

Both parties agreed not to comment on the details of the agreement. The completion of the transaction is subject to the approval of the Office for the Protection of Competition.

Media contact:

Ctibor Jappel
Head of Group External Communication
+420 724 594 084
ctibor.jappel@cetin.cz
media@cetin.eu