An acquisition deal has been struck between Monaco Telecom and Vodaphone Malta (VFML) for a cash consideration equal to an enterprise value of €250 million.
The sale, if approved by the Malta Communications Authority (MCA) – the Maltese government’s regulatory agency – will mean a 100% take-over of the operator with completion expected as soon as the first quarter of the 2020 calendar year.
A previous merger had been planned for VFML and Melita in 2017, but that merger was blocked as the two companies were unable to meet conditions stipulated by the MCA.
Vodaphone, one of the world’s largest telecommunications companies, had a turnover at the end of the last fiscal year in Malta of €82 million in revenue, €32 million in earnings before interest, tax, depreciation and amortization, and €19 million in operating free cash flow.
Monaco Telecom has already had another successful procurement with the purchase of EPIC, formerly known as MTN Cyprus, and is now Cyprus’s second largest mobile operator, as well as other holdings in Ireland and Switzerland.
Following the completion, Vodaphone Malta will operate under the Vodaphone brand for a transitional period.