German cable network operator Kabel Deutschland announced that it has purchased cable network operator Tele Columbus. The companies signed a contract concerning the acquisition on 21 May. The contract includes the acquisition of the business as well as all the Tele Columbus shares. The purchase price amounts to EUR 603 million plus accrued interest. As of 31 December 2011, this would have been equivalent to EUR 618 million. The purchase price will provide for repayment in full of the financial debt of Tele Columbus. Tele Columbus has approximately 1.7 million customers in 2.1 million homes connected and is Germany's largest network level 4 cable operator. The company operates predominantly in Berlin and in Eastern Germany including the cities of Dresden, Magdeburg and Potsdam. The business of Tele Columbus overlaps to a large extent with Kabel Deutschland's footprint. In the fiscal year 2011 Tele Columbus reported revenues of EUR 218 million and an EBITDA of EUR 81 million. The acquisition is subject to the approval of the German Federal Cartel Office.
