Privatization of 34.8% of BTC

This is an excelent example for a successful deal of the Alfa Finance Holding capital markets team. The transaction represents the largest ever privatization deal via the stock exchange and the largest SPO in Bulgaria.

The Bulgarian Telecommunications Company (BTC) is a leading telecommunications operator in Bulgaria and a former state monopolist.

In June 2004, the Bulgarian government sold its stake in BTC (65%) to the U.S. private equity fund Advent International for EUR 280 mn plus EUR 50 mn capital increase. After the listing of the company and the sale of the remaining 34.8%, it was transformed into a Public company, with a market capitalization totaling approx. EUR 1.5bn.

34.78% of BTC shares (part of the Dream Pool) were sold in January 2005 against compensatory instruments to the value of EUR 304.3mn.

Acting on assignment by the Bulgarian Privatization Agency, Bulbrokers Consulting, a leading consultant part of Alfa Finance Holding, together with UBB and NBGI prepared the legal and financial due diligence of BTC, the strategy for the shares offering, the marketing and investor road shows and the successful placement of the shares on the stock exchange.


Alfa Finance Project