Kabel Deutschland’s Tele Columbus remedy package deemed ‘insufficient’

19 Feb 2013

Germany’s Federal Cartel Office (FCO) has informed Kabel Deutschland that the remedy package offered by the cableco for its planned acquisition of smaller rival Tele Columbus is not sufficient enough to overcome its concerns about the deal. Last month Kabel Deutschland offered to sell Tele Columbus’ network assets in Berlin, Dresden and Cottbus, including the respective housing association contracts, in a bid to address concerns raised by the antitrust regulator in December 2012 that the acquisition would have a negative impact on competition. According to a press release from Kabel Deutschland, the cableco’s proposed network divestments have not overcome the FCO’s objections, however, with the regulator requiring the divestment of approximately 60% of the Tele Columbus networks in Eastern Germany – twice as many as offered by Kabel Deutschland. According to a report by Bloomberg which cites people familiar with the matter, the announcement comes just as Kabel Deutschland has allegedly hired Morgan Stanley and Perella Weinberg Partners to prepare for a potential approach from Vodafone Group. Last week Vodafone was said to be considering a potential acquisition of Kabel Deutschland, in a move that would give the UK-based company access to around 8.5 million paying households and potential customers for combined fixed line, mobile and TV services.

Germany, Kabel Deutschland (KDG), Tele Columbus Group,

Subscribe

Subscribe to CommsUpdate to get the day’s top telecom headlines delivered to your email.

Subscribe to CommsUpdate

Feedback

Have feedback, corrections, or story ideas? Send them to editors@commsupdate.com.

Browse Past Issues

Filter

Filter CommsUpdate by the following categories or use the search.

Search

Visit our help page information on performing advanced searches, including how to restrict the results by country or company.

Advertise

CommsUpdate is an outstanding advertising venue for companies seeking to reach:

  • International carriers
  • Wholesale service providers
  • Equipment and software vendors
  • Telecom investors
  • Regulators

Learn more about advertising on CommsUpdate.

Share