Cyprus-based Kerseyco acquires Beotelnet - Telefonija for some EUR 5 mil closer to settle debts

On July 8, private Cyprus-based fund Kerseyco Trading Ltd bought Serbian Beotelnet, a part of the Telefonija system, eKapija finds out exclusively.

Kerseyco has already acquired Serbian internet provider VeratNet. The Cyprians bought Kiprani BeotelNet by paying RSD 84.000 for stakes. The D1 trustees (i.e. trustees Beotel gave guarantees) paid EUR 500.000. After that, Beotel balance will total some EUR 4, 5 mil of debt.

For our portal, Salvatore Levis, the first man of Kerseyco in Serbia (a part of 7LCP Emerging Europe LP) says that, despite BeotelNet’s debt , they decided for the acquisition because of "the quality of its services, the staff expertise and the level of corporate culture for which they are sure it will have a positive impact on their company's total investment in Serbia. "

- Although the road to transaction was long and complicated, we are satisfied with the agreement - Levis says for eKapija.

The director of BeotelNeta, Daniel Fujs, says for eKapija that this sale is a positive sign both for their company business and the whole business system Telefonija. The first reason for being satisfied is that move complied with a plan of reorganization of the economic system. The second reason, according to Fujs, is that they managed to ensure Beotela’s business continuity , which, in their business area, is extremely important.

Namely, when one Internet provider, for example, halts providing services only for five days, it is very likely that it will lose the majority of customers, because it is not a service to wait for.

When it comes to future plans, the new owner says:

- First we plan to improve and expand the services which we would offer to our customers, with the goal to win the best possible position in the market and that ultimately we have the best possible result of our total investment in Serbia.

The director of BeotelNet adds business optimization is definite, but also that their company has already gone through some kind of optimization.

- If it were not so, Beotel would not have survived the last year and a half - Daniel Fujs says for eKapija.

(Photo: Beotel.net)

Just to mention, after the adoption of the reorganization plan, Telefinija had consolidated around EUR 18 mil of debt. Through the sale of commercial buildings some approximately EUR 4.5 million was paid, and now through the sales of Beotelnet, additional EUR 5 mil will be generated. Therefore, another EUR 2.5 mil has been written off.

The remaining EUR 6 mil will be settled through the sale of gas network infrastructure and through operating - Vladimir Pavlovic, director of WM Equity Partners', a consulting company which produced reorganization plan developed and which is in charge of monitoring its implementation.

Pavlovic points out that in mutual agreement of Telefonu (as borrower) and creditors value in the amount of EUR 5 mil has been kept, which would disappear instantly if Beotelnet went bankrupt. Thus, within only six months after the implementation.n of the reorganization plan, two-thirds of claims, which is not common in our country will be returned

Jelena Delic