This morning, Bredband2 announced the acquisition of Stockholm Stadsnät AB with 40 thousand customers at SEK50m enterprise value, implying an acquisition multiple of around 1x EV/sales or 13.4x EBIT based on 2022/2023 figures. At first sight, the acquisition multiples are not apparently cheap, but given the potential synergies we see, it’s not unreasonable to expect a post synergies multiple of c. 6-9x EBIT based on our initial take.
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