Vodafone Group completed the acquisition of Greek fixed operator Cyta Hellas for €118 million after the deal was cleared by the country’s regulators.
Cyta Hellas is the former Greek unit of Cyprus Telecommunication Authority: it provides fixed, broadband and mobile services, through an MVNO agreement with Vodafone Greece. It counts 300,000 fixed broadband customers, equivalent to an 8 per cent market share, and 40,000 customers for its MVNO.
In a statement, Vodafone said the acquisition would allow it to “expand its fixed network, increase its customer base and secure additional capabilities and expertise for the benefit of its customers.”
GSMA Intelligence connection figures for Q1 2018 placed Vodafone Greece as the second-largest mobile operator in the country, with a 34 per cent share (including cellular IoT). It competes with Wind and market leader Cosmote, the mobile subsidiary of incumbent fixed provider OTE.
When the deal was first confirmed in January, reports in the Greek press suggested Vodafone had to stave-off competition from Wind to secure the acquisition.
Vodafone’s buy fits with the company’s wider trend of offering converged services across its European operations. The group is currently in the process of beefing-up its fixed portfolio through the acquisition of Liberty Global’s assets across four markets in central and eastern Europe.
In recent financial statements the company praised the impact of its convergence strategy in several markets, including Spain and Italy.