Kabel Deutschland set to scrap Tele Colombus takeover
Vodafone target, Kabel Deutschland, could be set to abandon its €618 million acquisition of rival Tele Colombus due to regulatory concerns that the deal would affect competition in the German cable market.
The country’s cartel office rejected proposed concessions as part of the takeover and as a result a formal rejection of the deal is expected soon, according to Kabel.
Kabel had considered selling 30% of Tele Colombus’ east German assets but this was deemed insufficient by the authority, which wanted 60% sold.
The news is expected to reignite interest from the companies Kabel fought off for the deal previously, including Liberty Global and Deutsche Telekom.
Tele Columbus has approximately 1.7 million customers and a footprint located mainly in Berlin, Dresden, Magdeburg and Potsdam.