Telefnica bought for five billion euros (tm 130 billion crowns) in cash from the German operator E-Plus from the Dutch company KPN. The transaction, which must be approved by the regulator and the shareholders, will make O2 the client’s largest mobile operator in Germany.
The two companies agreed to it on Monday, June 22, with the fact that they are negotiating the merger of their mobile divisions in Germany. In addition to the buyer, the Dutch company KPN acquired 17.6 percent of the shares in the merged company.
The total value of the transaction will reach the value of 8.1 billion euros (not more than 210 billion crowns). The merged company should pinst the dispute in the range of five billion to 5.5 billion euros (130 and 143 billion crowns).
The Spanish company warned that this step will not affect the implementation of its debt to me than 47 billion euros (about 1.22 trillion crowns) out of a lot of 51.3 billion (more than 1.33 trillion crowns).
The transaction, which must go through the approval of regulations and shares, means a combination of the third and fourth biggest game on the German mobile market. The number of German mobile operators with its own connection between the German O2 and E-Plus will drop from one to three.
O2 has so far been the smallest German operator, but merging with E-Plus will become the largest game on the German mobile market. From the point of view of the total number of mobile phone users, the German market will have a share of about 38 percent. In terms of services, the thorn will be below 31.8 percent.
The current leader in the German mobile market is Telekom (T-Mobile), the second largest operator is the British Vodafone.
|Operator||Matesk spolenost||Number of customers (in millions)|
|Telekom (T-Mobile)||Deutsche Telekom||36,6|
KPN’s German division was so interested in the world’s richest man, Mexic Carlos Slim. The Dutch company tried to sell E-Plus last year to discourage Slim’s efforts to drive it.
It was not possible to hack the buyer or partner for fzi, and Slim’s Amrica Mvil, who is the main competitor of Panlsk Telefnika in Latin America, now owns 30 percent of KPN.
Telefnica, the largest provider of telecommunications services in Europe, is experiencing high debt. This forced her to sell some activities. In addition, the company had a negative impact of the debt crisis in the euro area on demand.
KPN, a Dutch company, will face difficult conditions in the mobile market and a continuing decline in the fixed telephone line segment. She announced that her same profit in the second quarter of this quarter fell to sheep less than two-thirds to 108 million euros (2.8 billion crowns).