March 31, 2023

DealBook: Bain Capital to Buy Call Center Business for $1.3 Billion

LONDON – The private equity firm Bain Capital agreed on Friday to buy the call center unit of the European telecommunications giant Telefónica for 1 billion euros ($1.3 billion).

The deal is the second announced by Bain Capital this week. The private equity firm co-founded by the U.S. presidential candidate Mitt Romney agreed on Wednesday to acquire the Apex Tool Group, a maker of hand and power tools, for $1.6 billion.

The deal for Atento, Telefónica’s call center division, comes after the Madrid-based telecommunications company canceled a proposed listing for the unit last year. Telefónica is eager to raise cash as it seeks to reduce its debt burden of around $75 billion.

Telefónica also is looking to raise cash through the initial public offering of its German subsidiary and expects to list the unit by the end of the year.

Under the terms of the deal for Atento, Telefónica said it would provide 110 million euros of financing to help Bain acquire the company.

The Spanish company also has signed a nine-year agreement to use Atento’s services, according to a company statement.

“This transaction is part of the policy of proactive management of the portfolio of assets of the company and the initiatives to increase Telefónica’s financial flexibility,” the company said.

The deal is expected to close by the end of the year.

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