Hungarian operator 4iG Group has announced plans to split its business into three entities by 2025 to streamline operations and attract external investors, raising the group’s overall value to HUF400 billion (US$1.15 billion).
“One of the key objectives of the transformation process is to monetize the excess value of our network and mobile infrastructure in Hungary and abroad,” 4iG Chairman Gellért Jászai said in a statement. “Based on our current estimates, we expect the separation of commercial activities and infrastructure to increase the value of the company by more than HUF 400 billion.”
Another goal, according to the operator, is to eliminate duplications within the business.
The transformation will begin with the division of 4iG’s telecom and IT businesses into three units: telecom trading, infrastructure and IT trading.
As part of the process, the operator’s space and technology interests will be combined into a standalone entity in order to capitalize on sector opportunities. The units will be managed centrally.
External investors will be able to acquire minority stakes in its network and mobile infrastructure as part of the transformation program, which aims to raise cash, reduce debt and invest in infrastructure upgrades.
