Shake up at strategic Hungary telco 4iG
Reading Time: < 1 minuteHungarian operator 4iG Group revealed a plan to streamline operations and bring in external investors to raise the overall value of the group to HUF400bn (USD 1.15bn).
In a statement, 4iG Chairman Gellert Jaszai said: “One of the key objectives of the transformation process is to monetise the excess value of our network and mobile infrastructure in Hungary and abroad.
“Based on our current estimates, we expect the separation of commercial activities and infrastructure to increase the value of the company by more than HUF 400 billion,” Jaszai said.
Rapidly growing 4iG
A medium-sized Hungarian IT company until recent years, 4iG has become one of Hungary’s biggest firms, with a significant presence in the Balkans.
4iG has also entered the defence industry as a partner of Germany’s Rheinmetall and acquired a stake in Israeli satellite company Spacecom.
Company to be split into three main units
Removing duplications is another objective, beginning with the division of 4iG’s telecom and IT businesses into three centrally managed units by 2025: telecoms trading, infrastructure and IT trading. The operator’s space and technology interests will be combined into a standalone entity.
The transformation programme also opens doors to external investors to acquire minority stakes in its network and mobile infrastructure, a move to raise cash, reduce debt and invest in infrastructure upgrades, 4iG added.