Spain’s MasMovil has confirmed via an investor filing that it has finalised a deal under which it will acquire a number of fibre-optic assets from Jazztel.
As previously reported by CommsUpdate, in May 2015 the European Commission (EC) green-lighted Orange Group’s proposed acquisition of Jazztel, with the approval conditional upon the full implementation of a number of commitments that would ‘ensure effective competition on the fixed internet access services markets after the takeover’. Specifically, such measures included the divestment of an independent fibre-to-the-home (FTTH) network covering approximately 720,000 premises in 13 districts of the country’s five largest cities, in addition to granting the purchaser of this infrastructure wholesale access to Jazztel’s national ADSL network for up to eight years.
Now, MasMovil has confirmed that it will acquire the aforementioned FTTH infrastructure, while it will gain wholesale access to the Jazztel ADSL network for an initial four year period, extendable for a further four years. As a result of the deal, MasMovil noted that it will be able to provide fixed broadband services to around 18.6 million households, while saying that it views the development as a ‘major milestone’ in its history, and has said it will allow it to compete more effectively in an increasingly converged market.
No financial details regarding the deal were disclosed by MasMovil, though it did confirm it expects the transaction to gain regulatory approval from the EC by the end of September 2015.