Starman to acquire Leading Lithuanian Cable TV and Internet Provider Cgates - While East Capital Explorer increases its ownership in Starman to 62 percent

East Capital Explorer's direct investment Starman, the leading cable TV and
broadband internet service provider in Estonia, has signed an agreement to
acquire 100 percent of Lithuanian Cgates for a total enterprise value of EUR
56.3m. East Capital Explorer will, in connection with this transaction, make an
additional investment of approximately EUR 23m in Starman, increasing its
ownership from 51 to up to 62 percent.

- The add-on investment in Starman, which now becomes our largest direct
investment, is a further step in our strategic path towards a more streamlined
portfolio of private equity and real estate holdings. As a stand-alone
investment, Starman has constantly exceeded expectations regarding profitability
and cash flow. Ever since we acquired the company in May 2013 we have looked at
opportunities to create additional value through taking an active role in
consolidation of the Baltic cable TV market. We are confident that Cgates is the
right partner for Starman, says Mia Jurke, CEO of East Capital Explorer.

- Cgates is the best managed telecommunications company in Lithuania with a
strong market position, stable performance and good profitability. Together,
Cgates and Starman will create the only truly pan-Baltic cable TV operator and
we see great opportunities to generate value through synergies, says Gert
Tiivas, chairman of Starman and Head of Private Equity in the Baltics, East
Capital.

Cgates is Lithuania's leading cable TV and broadband internet provider with a
network covering 300k households in twelve cities. Cgates has about 125k RGU's
(Revenue Generating Units) within pay-TV and 70k within Internet. The company's
revenues in 2013 amounted to EUR 15.2m with an EBITDA margin of 44.7 percent.

Starman is Estonia's leading cable TV and broadband provider with a cable
network covering 52 percent of households and a digital network (DTT) covering
97 percent of households. Starman's revenues in 2013 amounted to EUR 30.2m with
an EBITDA margin of 48.5 percent. The fair value of East Capital Explorer's
holding in Starman before the add-on investment was EUR 34m, corresponding to
11.4 percent of the total Net Asset Value.

The transaction is subject to approval from the competition authority in
Lithuania and is expected to be completed during the first quarter of 2015. The
transaction will be financed through divestment of fund holdings.


Contact information

Mia Jurke, CEO, East Capital Explorer, +46 8 505 885 32
Lena Krauss, CFO and Head of Investor Relations, East Capital Explorer,
+46 73 988 44 66

Financial reporting calendar
Year-end Report 2014 - 12 Feb 2015
Annual General Meeting 2015 - 21 Apr 2015
Interim Report, Q1 2015 - 13 May 2015
Interim Report, Q2 2015 - 20 Aug 2015
Interim Report, Q3 2015 - 5 Nov 2015


About East Capital Explorer
East Capital Explorer AB (publ) is a Swedish investment company, created with
the specific aim of bringing unique investment opportunities in Eastern Europe
to a broader investor base. The company makes direct investments into private
and public companies but investments are also made through East Capital's
private equity, real estate and alternative investment funds. East Capital
Explorer's main investment theme is domestic growth and the Company targets fast
growing sectors such as Retail and Consumer goods, Financials and Real Estate.
East Capital Explorer has appointed East Capital to manage its investment
activities. East Capital Explorer is listed on NASDAQ OMX Stockholm, Mid Cap.

  Listing: NASDAQ OMX Stockholm, Mid Cap - Ticker: ECEX - ISIN: SE0002158568 -
                  Reuters: ECEX.ST - Bloomberg: ECEX SS Equity


This information is disclosed in accordance with the Securities Markets Act, the
Financial Instruments Trading Act and demands made in the exchange rules. It was
released for publication at 08:00 a.m. CET on 22 December 2014.

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