Swisscom has agreed to purchase a 75% controlling stake in state-owned Telecom Liechtenstein and integrate the telco into its Swiss operations, having signed a declaration of intent with the Principality of Liechtenstein. Under the agreement, Swisscom is planning to take over the Liechtenstein company’s fixed telecoms business and associated network infrastructure currently belonging to the Liechtenstein power company LKW, and to manage it through Swisscom (Switzerland) Ltd. The cable network activities of Telecom Liechtenstein and the Swiss subsidiary Deep AG will not be included in the takeover. Liechtenstein’s parliament will decide on the necessary legal adjustments for the takeover towards the end of the year. The business is now being scrutinised in detail and the transfer contracts will then be negotiated, according to Swisscom. Once the two sides have reached agreement, the contracts are set to be signed by the end of 2012.
The deal marks Swisscom’s return to Liechtenstein’s fixed network sector, as it sold its fixed line business there to the state in 2003. Swisscom currently operates mobile network services in Liechtenstein, although TeleGeography’s GlobalComms Database notes that it chose not to set up a regional headquarters in the Principality, preferring to run its mobile operations there from its Swiss base.