Financing to fund strategic expansion
United Pan European Communications said Tuesday that it plans to issue $1.24 billion in convertible preferred shares to a group of investors including John Malone’s Liberty Media, fund managers Capital Research & Management, Motorola and parent company UnitedGlobalCom.
UPC said the equity financing will strengthen its balance sheet and fund its strategic expansion. “We are delighted by this strong show of support from a combination of industry and financial players that are familiar with UPC’s integrated strategy,” said CEO Mark Schneider.
Amsterdam-based UPC provides a combination of cable television, telephony, high-speed Internet access and programming services in 17 European countries and Israel. Company acquired 25% of British cabler Telewest earlier this year and hopes to buy one of Deutsche Telekom’s nine regional cable systems in Germany.