Competitive acquisition process for a Polish broadcasting company

The problem

Analysys Mason supported Alinda, a large infrastructure fund, during the competitive acquisition process for a Polish broadcasting company, Emitel. The broadcasting tower market was undergoing significant change in Poland, following the digital TV switchover and the launch of DAB radio services.

The solution

We reviewed the market from both a commercial and regulatory perspective, in order to provide a robust assessment of the sustainability of existing business lines and new opportunities. We assessed the growth potential associated with services, such as new DTT multiplexes, DAB and further MNO roll-out. Our assessment was informed by our previous experience of other markets undergoing the analogue-to-digital transition.

We were able to identify specific locations where there could be future tower demand using publicly available information on the locations of MNO sites. These were particularly prevalent along motorways, where no coverage is available. We carried out a detailed review of the management’s business plan, in order to understand the key areas of risk (and opportunity) that existed within the business.

The result

We recommended a number of revisions to the management’s business plan for our client’s equity case. Following this engagement, our client successfully acquired the target company.