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Supporting MEIF5’s acquisition of cable/fibre operator INEA

The problem

  • Macquarie European Infrastructure Fund 5 (MEIF5) decided to participate in the competitive process for the acquisition of INEA, a cable and fibre operator active in the Wielkopolska region of Poland
  • Analysys Mason was engaged to carry out commercial due diligence of MEIF5’s business plan as well as technical due diligence

The solution

  • We supported MEIF5 on the development of an acquisition business plan
  • Our team developed market projections for the fixed voice, broadband and pay-TV markets for Poland and, more specifically, for Wielkopolska in order to size the current and future addressable demand
  • We identified the key market risks and opportunities, taking a view on how (and to what extent) these would affect the business
  • Our review of the business plan was also informed by analysis of documentation from the virtual data room and interviews with INEA’s management
  • The due diligence included a detailed review of the regulatory framework and the future expansion of the fibre network into new areas
  • The capex for this additional roll-out was assessed through our detailed technical due diligence, which assessed both current assets and future investments needed to maintain and expand the network

The result

  • MEIF5 was selected as the winning bidder and successfully closed the transaction in early 2018
  • During the re-financing process which followed, Analysys Mason provided further support to INEA and MEIF5 as a commercial and technical adviser

Figure: INEA's area of operations in Poland

INEA’s area of operations in Poland

 

MEIF5 was selected as the winning bidder and successfully closed the transaction in early 2018.

 

Key fact 1

Our team developed market projections for the fixed voice, broadband and pay-TV markets for Poland and, more specifically, for Wielkopolska in order to size the current and future addressable demand.

Key fact 2

We identified the key market risks and opportunities, taking a view on how (and to what extent) these would affect the business.

Key fact 3

The due diligence included a detailed review of the regulatory framework and the future expansion of the fibre network into new areas.