Verdict on TeliaSonera, Tele2 deal postponed by Norwegian watchdog

Verdict on TeliaSonera, Tele2 deal postponed by Norwegian watchdog

15 JAN 2015

Norway’s Competition Authority was due to decide whether to let Sweden’s TeliaSonera acquire the Norwegian unit of Tele2 by today (15 January), but it has now postponed its verdict until 5 February.

The delay is because TeliaSonera has put forward a new remedy in hopes of convincing the authority to approve the deal. It has previously been sceptical.

“The deadline extension is based on the right of the parties to have their proposal for remedial measures considered”, the authority said in a statement, adding that 5 February will be an absolute deadline for completion of the case.

However, it is unclear what this remedy is.

In December, the watchdog had stated a number of objections to the deal, including the fact that the transaction would reduce the number of mobile operators in Norway from three to two.

It had also added that the deal “will harm the competition climate”, resulting in higher prices and lower quality for consumers.

The merger would see TeliaSonera end up with around 2.7 million subscribers, increasing its market share to around 40 per cent. Market leader Telenor has around 3.2 million mobile subscribers.

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Saleha Riaz

Saleha joined Mobile World Live in October 2014 as a reporter and works across all e-newsletters - creating content, writing blogs and reports as well as conducting feature interviews...More

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