Jazztel p.l.c. announced today the acquisition of the Portuguese company Netvoice Comunicações e Sistemas, S.A. (operated under the brand name Netvoice) by its subsidiary Jazztel Portugal Serviços de Telecomunicações, S.A. Netvoice is a fixed-line operator selling indirect access and wholesale services nationwide but with special focus in Lisbon and Porto.
The purchase price, for 100% of the share capital, is Euro 1.3 million and will be paid in ordinary shares of JAZZTEL p.l.c. which will be issued in accordance with market conditions prevailing at the time of payment.
The transaction, effective today, is conditional upon the approval of the “Folleto Informativo” by the CNMV (Spanish stock exchange authority) before December 19 th , 2003.
Netvoice, founded in 2000, has experienced strong growth in the Portuguese telecommunications market. The company has positive operating income and is free cash flow positive since 2002. Netvoice will be acquired debt free. The cancellation of third party debt will be included in the acquisition price.
This transaction is in line with Jazztel's strategy of pursuing selective acquisitions in order to strengthen its position in the telecommunications market in Spain and Portugal.
Christoph Schmid, Managing Director of Corporate Development of Jazztel commented: "We are very pleased to be able to integrate Netvoice into the Jazztel Group. This acquisition will not only enhance our Portuguese operations through the incorporation of new clients of a similar profile to ours, but also will enable us to exploit significant operational and commercial synergies."
