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STC Group Reportedly Weighing Offer For United Group (B2/B+); EUR Bonds Move Higher.

COMMUNICATIONS

• Reuters sources report Saudi Arabia's STC Group is considering an offer for United Group, potentially valuing it around EUR 8bn, including debt. BC Partners, which acquired United Group in 2019, is working with advisors on the sale.

• Move aligns with STC’s prior expansion into Europe by acquiring a stake in Telefonica and United Group’s tower assets in Bulgaria, Croatia, and Slovenia.

• UAE-based E& was previously reported to be interested in United Group though they downplayed the speculation in early May.

• EUR lines have moved higher on the report, EUR 31s are close to 1pt richer. Can't see the paperwork but BBG indicates change of control covenants at 101 on most lines.

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