Czech Railways will acquire the telecommunications company ČD-Telematika, which now owns over 70 percent. The company’s Board of Directors approved the purchase of the remaining stake in the company from the PPF investment group. The acquisition will now be approved by the company’s supervisory board and management committee. According to the Seznam, the price will be around 850 million crowns, which is four times more than in the past, according to the server.
“After a thorough discussion and review of independent expert opinions, the Board of Directors of ČD, as approved yesterday’s intention to control 100 percent of ČD – Telematika. The material will also be discussed by the Supervisory Board and the Management Committee,” Rajnochová told ČTK. The company will not provide further information, including any price, yet.
Server Seznam Zprávy said today that the repurchase would cost 850 million crowns. According to the server, about seven years ago, the railways received an offer for the same share for approximately 198 million crowns. At that time, however, the railways eventually rejected the acquisition.
Over 29 percent of ČD-Telematika is now owned by the PPF group, which bought them from the Unicapital group of the Olomouc billionaire Pavel Hubáček in 2018.
ČD-Telematika offers ICT services to state and private organizations, especially the internet, data, and telecommunication services. The company also operates in transport, where it cooperates with Czech Railways on equipping trains with safety technologies. The company employs over 500 people, the year before it recorded a profit before tax almost 213 million crowns.
Czech Railways plans to buy back despite the current traffic losses. Due to the coronavirus crisis, they lost more than four billion crowns in sales last year alone.