Hungary-based IT service management company 4iG Plc says it has entered into a preliminary agreement with the Romanian RCS & RDS consortium for the acquisition of the Hungarian interests of the Digi Group, a leading telecommunications service provider in Hungary.
The planned transaction could be completed by the end of September, following due diligence of the companies, the signing of the final sales contract and the necessary regulatory procedures.
The Digi Group, with 23 years of experience and an extensive service portfolio, is one of Hungary's leading telecommunications companies. The group is also present in the markets for cable TV, wired internet and data transmission, mobile telecommunications, landline telephone and DTH satellite services. Digi serves more than 1.1 million subscribers nationwide.
Digi Communications also has operations in Romania, Italy and Spain. However, according to some analysts Digi Communications has had problems recently in Hungary, including not being able to apply for a 5G licence, and difficulties in acquiring the alternative telco Invitel.
With this acquisition, 4iG says it will be able to become one of Hungary’s largest domestic broadcasters, and also one of the country’s major providers of broadband internet and fixed and mobile phone services.
The company says the acquisition will also fit in well with its expansion plans in the satellite market.