3i mulls sale, IPO for Finnish telecom unit – Reuters


3i is considering a sale or initial public offering of its Finish telecommunication unit, Eltel Networks, in a deal that may value it about 1 billion euros ($1.4 billion) including debt, Bloomberg reported, writes Reuters. Morgan Stanley and French bank BNP Paribas SA were advising on the sale, according to reports.

Reuters – Private equity firm 3i Group Plc is considering a sale or initial public offering of its Finish telecommunication unit, Eltel Networks, in a deal that may value it about 1 billion euros ($1.4 billion) including debt, Bloomberg reported on Sunday.

Morgan Stanley and French bank BNP Paribas SA were advising on the sale, but no final decision had been made, the news agency reported, quoting two people with knowledge of the matter.

3i bought the Espoo, Finland-headquartered electricity and telecommunications network maintenance firm from Industri Kapital, TeliaSonera and Eltel management in 2007. (reut.rs/VvJcmH)

Funds managed by 3i hold 69.4 percent of Eltel, while BNP Paribas holds 29.5 percent and management holds 1.1 percent, according the company’s annual report.

Neither of the parties involved could immediately be reached for a comment outside of regular business hours. ($1 = 0.7331 euros) (Reporting by Esha Vaish in Bangalore; Editing by Marguerita Choy)

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