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SOROS FUND MAJORITY OWNER OF LARGEST CABLE NETWORK IN CROATIA

ZAGREB, March 4 (Hina) - The Soros Investment Fund (SIF) has bought the majority interest in Digital City Media (DCM), the leading cable television concessionaire in Croatia, by recapitalising it with US$5 million, SIF director for Southeast Europe and DCM CEO Gavin Ryan told a news conference on Tuesday.
ZAGREB, March 4 (Hina) - The Soros Investment Fund (SIF) has bought the majority interest in Digital City Media (DCM), the leading cable television concessionaire in Croatia, by recapitalising it with US$5 million, SIF director for Southeast Europe and DCM CEO Gavin Ryan told a news conference on Tuesday. #L# SIF was one of the original investors in DCM back in 2001 and the latest recapitalisation has raised its total investment in the company to $7.5 million, sufficient to take over a 59 percent part ownership. Over the next five years SIF plans to invest a total of $50 million in the development of cable television business and entering the Internet market, as well as to raise the number of users from the current 30,000 to 270,000, said Ryan. Plans for this year envisage increasing the number of users to 50,000 and introducing a new service -- cable Internet access -- whose pilot project is being developed in Zagreb, said Ryan. Besides SIF, DCM's other part owners are the SEAF Croatia investment fund with ten percent, the SEAF Growth Fund with 27 percent and the Osijek-based company Elektromodul with four percent. DCM currently owns four cable networks in Croatia -- two in Zagreb and one each in Osijek and Split. Ryan said plans envisage expanding DCM's own network as well as purchasing already existing local ones. DCM is one of SIF's two major investments in Croatia, the other being part ownership in Nova Banka alongside the owner, the Charlemagne Capital fund. Besides Croatia, SIF has part ownership in cable networks in Bulgaria and Serbia. (hina) ha sb

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