Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  Warsaw Stock Exchange  >  Cyfrowy Polsat S.A.    CPS   PLCFRPT00013

CYFROWY POLSAT S.A.

(CPS)
  Report
SummaryChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryMost relevantAll NewsPress ReleasesOfficial PublicationsSector news

Iliad's shares fall after $4.2 billion bid for Polish telco Play

share with twitter share with LinkedIn share with facebook
09/21/2020 | 08:26am EDT
Guests waits before French telecoms operator Iliad the media conference in Milan

Iliad's move to buy Polish mobile group Play in a $4.2 billion deal got a cool reception from investors on Monday as the French company already faces heavy investments in France and Italy.

The surprise bid would allow Iliad, controlled by French tycoon Xavier Niel, to become Europe's sixth largest mobile operator, in a further expansion of the company's business outside France, where its low-cost mobile offers shook up the market nearly a decade ago.

Iliad has already bought a minority stake in Ireland's eir and launched in Italy in 2018.

Iliad's shares were down by 3% at 0941 GMT.

"To embark on a new adventure in Poland is a surprise for investors who would have liked to see first the benefits of the improvements in France and Italy," said Stephane Beyazian, an analyst at Main First Bank.

Iliad has been fighting cut-throat competition in France which put pressure on its shares and led Niel to tighten his grip on the company via a 1.4 billion-euro share buyback.

The group, whose stock has gained 40% since the start of the year, managed to attract new customers in France as well as securing an 8% market share in the mobile business in Italy. But the need for more spending on networks spooked investors when the company reported first-half results.

The deal, which gives Play an enterprise value of 3.5 billion euros ($4.2 billion), includes 2.2 billion euros for Play's equity, or 39 zlotys per share, a 38.8% premium to its Friday close.

The Paris-based group said it had already agreed to buy 40% of Play from two private investors, Tellerton Investments and Kenbourne Invest II, respectively controlled by Greek businessman Panos Germanos and Icelandic businessman Thor Bjorgolfsson, according to regulatory filings.

The two investors agreed to exit as the whole industry faces heavy costs upgrading to the next generation of mobile internet, or 5G.

Play followed the same playbook as Iliad in Poland, with aggressive prices in mobile that helped it to take the number one position in the market with a 29% market share of users.

"We have the same maverick mindset," Iliad's chief executive Thomas Reynaud said in a call with analysts. "Each time we have cracked the market and revolutionised the access to mobile data."

The fierce price competition hit sales revenues overall in the Polish market, which are now stabilising.

Play competes against Orange Polska, Deutsche Telekom's T-Mobile and Polkomtel [PTL.UL], a unit of Cyfrowy Polsat. It launched its broadband services this year, leaving room for expansion in this business.

Iliad said the acquisition will be earnings-accretive from year one and the offer, which starts Oct. 19 and closes Nov. 17, will be financed by debt and cash.

($1 = 3.7556 zlotys)

($1 = 0.8429 euros)

(Reporting by Geert De Clercq and Mathieu Rosemain; Additional reporting by Douglas Busvine and Anna Koper; Editing by Kim Coghill/Sherry Jacob-Phillips/Alexander Smith/Jane Merriman)

By Mathieu Rosemain, Anna Koper and Geert De Clercq


Stocks mentioned in the article
ChangeLast1st jan.
CYFROWY POLSAT S.A. 2.72% 27.18 End-of-day quote.-2.72%
ERICSSON AB -0.50% 108.45 Delayed Quote.32.97%
FIRST BANK 2.61% 7.48 Delayed Quote.-32.31%
ILIAD S.A. 0.43% 164.05 Real-time Quote.41.97%
ORANGE 1.86% 9.518 Real-time Quote.-27.45%
ORANGE POLSKA S.A. 0.37% 6.75 End-of-day quote.-5.20%
PLAY COMMUNICATIONS S.A. -0.05% 38.74 End-of-day quote.10.69%
T-MOBILE US 0.66% 112.38 Delayed Quote.43.31%
share with twitter share with LinkedIn share with facebook
All news about CYFROWY POLSAT S.A.
10/14CYFROWY POLSAT S.A. : Ex-dividend day for final dividend
FA
10/12CYFROWY POLSAT S A : Plus leads in mobile number portability in the third quarte..
PU
09/23CYFROWY POLSAT S A : Decision on the initiation of a review of various strategic..
PU
09/21Iliad's shares fall after $4.2 billion bid for Polish telco Play
RE
09/21EU to investigate Polish mobile radio spectrum granted to Sferia
RE
09/21Iliad's shares fall after $4.2 bln bid for Polish telco Play
RE
08/28CYFROWY POLSAT S A : Group sums up Q2 2020. Excellent operating results, finaliz..
PU
08/27CYFROWY POLSAT S.A. : Press Release
CO
07/23CYFROWY POLSAT S A : Appointment of Mr. Marek Grzybowski and Mr. Paweł Zió&..
PU
07/23CYFROWY POLSAT S A : List of shareholders authorized to at least 5% of votes at ..
PU
More news
Financials
Sales 2020 11 757 M 3 055 M 3 055 M
Net income 2020 1 197 M 311 M 311 M
Net Debt 2020 11 665 M 3 031 M 3 031 M
P/E ratio 2020 14,4x
Yield 2020 3,26%
Capitalization 17 383 M 4 498 M 4 516 M
EV / Sales 2020 2,47x
EV / Sales 2021 2,33x
Nbr of Employees 7 177
Free-Float 43,0%
Chart CYFROWY POLSAT S.A.
Duration : Period :
Cyfrowy Polsat S.A. Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends CYFROWY POLSAT S.A.
Short TermMid-TermLong Term
TrendsNeutralNeutralBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus HOLD
Number of Analysts 9
Average target price 28,74 PLN
Last Close Price 27,18 PLN
Spread / Highest target 14,1%
Spread / Average Target 5,76%
Spread / Lowest Target -5,08%
EPS Revisions
Managers
NameTitle
Miroslaw Marian Blaszczyk Chief Executive Officer
Marek Kapuscinski Chairman-Supervisory Board
Katarzyna Sylwia Ostap-Tomann Head-Finance
Robert Andrzej Gwiazdowski Independent Member-Supervisory Board
Leszek Reksa Independent Member-Supervisory Board
Sector and Competitors
1st jan.Capitalization (M$)
CYFROWY POLSAT S.A.-2.72%4 498
LIBERTY BROADBAND CORPORATION11.32%25 445
DISH NETWORK CORPORATION-23.20%14 309
LIBERTY GLOBAL PLC-9.19%12 146
COGECO COMMUNICATIONS INC.-14.32%3 522
MEGACABLE HOLDINGS, S. A. B. DE C. V.-14.28%2 730