4iG acquires majority stake in ALBtelecom

Hungarian IT outfit and service provider 4iG has acquired an 80.27% in Albanian telco ALBtelecom.

The company is Albania’s leading fixed line internet and TV operator, the largest owner of a fibre network in the country and a mobile operator with its own network.

4iG said the acquisition was another important step in the its expansion strategy in the Western Balkans, taking it into a new market.

Turkey’s Çalik Holding will become an institutional investor in 4iG as a result of the acquisition, which is expected to be closed in January 2022, subject to the approval of the Albanian authorities.

4iG has acquired its Albanian asset from Cetel Telecom, a majority-owned subsidiary of Çalik Holding. The Albanian state will continue to exercise its minority ownership rights in the company through the Albanian Ministry of Finance and Economy with a 13.78% stake and the Albanian Post with 2.47%.

ALBtelecom’s shares will be acquired by 4iG in a multi-step transaction, which will result in Çalik Holding, one of Turkey’s largest conglomerates, acquiring a stake of around 3.2% in 4iG.

ALBtelecom has 168,000 fixed voice, 129,000 Internet and 71,000 TV subscribers, and is the third largest mobile operator in the country with 420,000 mobile subscribers.

Last year, the company posted EBITDA of €17.4 million on revenues of €57.9 million.

“ALBtelecom is a telecommunications provider with strong growth potential. The acquisition is an important step our expansion in the Western Balkans telco sector, which may open up further opportunities for us in the Albanian telecommunications and IT markets. We have come to the country as a strategic investor, where we want to be present in the long term in providing high quality services to retail and corporate customers. Our acquisition is an important step through our strategic goals, and we are committed to the development of the Albanian telecom sector and Albania’s digitalisation efforts,” said Gellért Jászai, chairman and CEO of 4iG.

“We are pleased that ALBtelecom will be owned by a strategic investor committed to the company. This is the first step in developing our strategic partnership with 4iG Group, which can provide further business opportunities for both of our companies in the future,” said Ahmet Çalik, president of Çalik Holding.