22 Jan '15
Trivon AG, which does business through its subsidiaries under the Virgin Connect brand in Russia, has acquired 75% of the group of companies in the Moscow region operating under the “Speedyline” brand with an option for the further purchase of the remaining 25%, Virgin Connect told Marchmont News earlier this week. The terms of the transaction were not disclosed.
The Speedyline Group of companies is one of the leading regional B2C broadband, telecom and TV operators with its own extensive fiber optic network and portfolio of triple play services. This acquisition bolsters the market position of Virgin Connect in the Moscow region and strengthens the business for further investment in the Moscow region.
Istvan Kovacs, CEO of Virgin Connect explained the acquisition in this way: “This merger of Speedyline into Virgin Connect is the next step in the execution of our strategy – find local operators in key regions of Russia with exceptional local management and enable them to grow as part of the Virgin Connect family of companies. Virgin Connect has experience with this partnership approach and the approach seems to be well accepted by operators across the country”. Markus Mueller, Co-CEO Trivon AG, agreed adding, “This is an important step in our acquisition strategy as we begin to focus more on the opportunities in the B2C markets. It demonstrates again the Virgin Connect position as a technology agnostic provider of broadband services, in this case providing high quality services to consumers. The Speedyline infrastructure allows us to provide high quality services in a very competitive consumer market”.
The Virgin Connect brand is a licensed trademark of the Virgin Group, owned by British entrepreneur Sir Richard Branson. The Virgin brand is a global brand with its companies renowned for being innovative and customer focused and its People being insatiably curious changing the business for the customers good.
About Trivon AG
Trivon AG, operating through its subsidiaries under the Virgin Connect brand, is a major alternative broadband and telecom services operator in Russia. Virgin Connect serves both B2B and B2C customers in fourteen regions and 250 cities and towns utilizing the most appropriate broadband technologies to provide a “red hot” service experience to their customers. Virgin Connect has grown over 40% year on year through organic growth and acquisition over the past two years. Trivon’s shareholders include IFC, EBRD, Virgin Group, Delta Partners, Eurasia Capital Partners as well as other private equity investors.
About Virgin Group
Virgin is a leading international investment group and one of the world's most recognized and respected brands. Conceived in 1970 by Sir Richard Branson, the Virgin Group has gone on to grow successful businesses in sectors ranging from mobile telephony, travel, financial services, leisure, music, holidays and health & wellness. Virgin has created more than 400 branded companies worldwide and employs more than 50,000 people, operating in over 50 countries with global branded revenues of £15bn ($24bn) in 2012.
About Speedyline Group
The Speedyline Group of companies, founded in 2002, is the leading alternative B2C broadband and telecom company in the region with its own extensive fiber optic network covering over 43 cities in the Moscow Region including the towns of Mosrentgen, Troitsk, and Moskovskiy. Its customers are located on the southern edge of Moscow region coined as “New Moscow” indicating the expansion of Moscow. Speedyline is a leading operator in this region offering a portfolio of high quality triple play residential services. The company has over 50% of the local market share in nine out of fourteen of the communities and micro regions where they operate.