Hungary's Nordtelekom said it had signed an agreement to purchase the clients and assets of telco Beltáv, increasing the number of its clients by thousands to over 10,000.
Nordtelekom, listed in category "B" of the Budapest Stock Exchange, signed the agreement after an independent auditor valued Beltáv's purchased assets at HUF 166m.
Nordtelekom decided early last year to embark on acquisitions to support the company's growth. Shareholders had mandated the board to raise capital through issue of new shares and use at most HUF 200m of the proceeds to acquire Beltáv.
As a result of the acquisition, Nordtelekom could soon provide internet access through its own network in Budapest, Gyor and Dunaújváros.
Nordtelekom had after-tax profit of HUF 11.4m on revenue of HUF 117m in the first half of 2011.
The company had net assets of HUF 243m at the end of 2010.