Virgin Group together with two private equity firms Delta Partners and Eurasia Capital Management (ECM) have made an undisclosed investment into Trivon, a fixed wireless operator with WiMAX licenses to operate across Russia. All three new shareholders own significant stakes in Trivon co-investing with existing business angels and the management team.
Trivon launched on May 15 its nationwide broadband network under the Virgin Connect name in 32 Russian regions covering Moscow, St. Petersburg and the largest 20 cities in Russia.
Virgin Connect plans to gain a 10% market share within 5 years in Russia, according to Sir Richard Branson, the founder of the Virgin Group. He also added that Virgin Connect would demystify the complex tariff jungle and bureaucracy in the market as well as provide a fresh and human customer experience to Russians.
Virgin‘s brand values are Value for Money, Good Quality, Brilliant Customer Service, Innovation, Competitively Challenging and Fun.
Trivon was formed in September 2004 by a team of telecom professionals and few months later its subsidiaries started providing Internet access services in several Russian regions. In 2007, Trivon acquired a telecoms group holding additional licenses for the provision of broadband Internet and voice services. According to Vedomosti business daily, the company could have spent $40 million to acquire the licenses.
The private equity funds already invested over $70 million in Russian WiMAX operators in 2008.