Tet acquires Telia Latvija / Article

The acquisition of Telia Latvija amounts to EUR 10.75 million, including the refinancing of the Telia Company loan.

Uldis Tatarčuks, Chairman of the Board of Tet, said about the deal that combining the expertise of the two companies will allow to develop existing services and create new solutions that meet modern business needs, thus strengthening regional leadership and expanding the export potential of services.

Mikus Ozols, Chairman of Telia Latvija, noted that the two companies have already cooperated on various projects and that the knowledge, skills and tools available to the teams allow them to complement each other, providing more opportunities for customers.

But Andreas Ekstroms, the head of Telia Company in Latvia, expressed satisfaction with the agreement reached with Tet, as well as pointed out that Telia Latvija had several potential buyers.

CONTEXT:

At the time of its establishment, the company “Tet” was called “Lattelekom” (it was renamed “Lattelecom” in 2006), it was a 100% Latvian state-owned company. In 1994, 49% of its shares were bought by TILTS Communications.

The turnover of the Tet Group in 2020 was 222.644 million euros, which is 1.6% less than in 2019, while the Group’s profit decreased by 16.1% and was 30.389 million euros, according to Firmas.lv information. Tet, on the other hand, had a turnover of 178.293 million euros in 2020, which is 3.2% less than a year earlier, but the company’s profit decreased by 8.5% to 30.078 million euros, LETA reported.

The company “Telia Latvija” was registered in 1992, and the share capital of the company is 35.35 million euros, according to “Firmas.lv” information. In 2020, the company had a turnover of 7.687 million euros and a loss of 83,726 euros. The company offers telecommunications, cloud and media services solutions for business.

Tet is owned by the state as a public asset manager, Possessor Ltd. (51%) and a subsidiary of Telia Company, Tilts Communications (49%).

The Tet Group includes Tet, Citrus Solutions, Data Experts, Helio Media and the Baltic Computer Academy. Tet owns 23% of the shares of SIA Latvijas mobilais telefons.

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