Com Hem closes Boxer acquisition

Com Hem has closed its SEK 1.33 billion (US$160.8 million) acquisition of rival Swedish pay TV operator Boxer.

In a statement issued this morning, Com Hem said that Boxer will be consolidated into Com Hem’s financial statements from September 30, 2016.

Com Hem said that it expects the acquisition to generate approximately SEK300m in additional underlying EBITDA for the first 12 months and approximately SEK200 million in operating free cash flow.

The closure of the deal comes a week after the deal won the approval of the Swedish Competition Authority. The Swedish state, through cabinet minister Mikael Damberg also gave the green right earlier this month.

Com Hem first agreed to buy Boxer in June. At the time it said that the deal will help it to move into the single dwelling unit (SDU)market in Sweden as Boxer, the pay TV operator in the DTT network in Sweden, has roughly 500,000 subscribers that are predominantly in this market.

These customers will get access to fibre over the coming years, marking a “significant acceleration opportunity” for Com Hem, according to the company.