Zenitel sells its Caribbean Network Operation to the Curacao Growth Fund
Located on the Caribbean islands with the main seat in Willemstad, Curacao, Zenitel Caribbean owns and operates the Public Safety Network in Curacao, Aruba, St. Martin and the BES Islands (Bonaire, Eustatia & Saba). The company is a network operator and sells airtime on its own network. In addition, it sells Vingtor-Stentofon products and acts as a system integrator. In 2014 the company had an annual turnover of 4.6 million Euro and a recurring EBITDA of 1.3 million Euro. At the current exchange rate ANG/EUR, CGF pays approximately 5.1 times the 2014 EBITDA in cash.
Kenneth Dastol, CEO of Zenitel, commented that the transaction is entirely in line with Zenitel’s strategy to divest its remaining network operations and to focus on the further profitable growth of its Vingtor-Stentofon core business. He said that during the discussions with CGF, it became clear that CGF fully understood the local business needs and that, as local owners, they are well placed to add value to the company, to its customers and to its employees. He added to be pleased that, as part of the agreement, CGF will become a member of Zenitel’s World-Wide Partner Network and will market and sell Zenitel’s Vingtor-Stentofon products, across the Caribbean and parts of Latin-America. In 2014 the Vingtor-Stentofon products represented approximately 2% of the Caribbean revenue. Justus Martens, Managing Director of
Curacao Growth Fund said to be very pleased with the agreement: “The Company has been delivering quality services and has been growing steadily over the past 10 years and we are pleased to announce that this investment is the first investment by the newly established Curacao Growth Fund. As new owners, we are committed to continue the positive trend set by the global Zenitel Group, and will support the management team with continuous hands-on strategic support. As a local owner, we believe we can add value to the company and its regional growth strategy”.
The Curacao Growth Fund is the first private equity fund in Curacao and was established by Justus Martens and Erik Baas, two private equity specialists with over 50 years of global experience in banking, corporate finance, accounting, corporate management and investment management. The Fund will have pension funds, banks and insurance companies in Curacao as investors, the first and largest investor being Algemeen Pensioenfonds Curaçao (APC). The Fund's mission is to invest in existing, well established local companies and to improve and grow these over time, based on additional capital injection and continuous, hands-on strategic support of the management team.
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