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Brookfield, Imagine’s previous owner, will continue to hold a minority stake in the business.
Rural Irish broadband provider Imagine has sold a majority stake to Team Group, the owner of Armenia’s largest fixed line telecoms operator.
Team Group’s investment into Imagine marks the first time the company has invested in an EU country. According to Imagine, which made a loss of nearly €50m last year, this “strategic” investment will equip the company with the resources it needs to enhance its long-term performance.
The Team Group of companies, the owner of Team Telecom Armenia, is the country’s second largest mobile operator and a leading internet and digital TV services provider with more than 1.1m customers.
According to the company, its investment into Imagine reflects its interest in the Irish market and its “ambitious” plans to expand into Europe.
Imagine’s existing shareholder, the Canadian Brookfield Asset Management will continue to remain a minority shareholder, partnering with Team Group and the company’s new management team, Imagine said.
To lead its new management team, Imagine has appointed Niall Tallon, a business professional with more than 20 years of experience in various industry sectors including technology, professional services and telecommunications.
“The National Broadband Plan, supported by the Irish Government, has had a massive impact on the Irish broadband landscape. Over the last 24 months, the shift towards fibre technology has been transformative, particularly in rural Ireland,” said Tallon.
“This investment by Team Group will finance our five-year strategic plan and enable us to pivot faster to fibre, enhancing service stability and quality for customers. We have already started working with our dedicated team and market partners to expand our reach and offerings and deliver faster broadband and innovative solutions across the country.”
The owners of the Team Group of companies, Hayk and Alexander Yesayan, said in a joint statement that the investment was a significant milestone for Team Group and shows the team’s confidence in Imagine’s long-term growth potential.
“By leveraging innovative technologies and collaborating with infrastructure partners we can provide the very best broadband speeds and services for Imagine’s customers and communities.”
In 2021, Imagine sped up delivering its 5G fixed broadband network across rural Ireland as remote working became more popular when pandemic restrictions were imposed.
Imagine began to develop its 5G fixed wireless infrastructure in 2018 after securing €120m from Brookfield, which acquired a majority stake in the company.
In 2019, the company announced plans to cover 1m Irish premises with 150Mbps connectivity using 5G fixed broadband.
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