UPDATE: Hutchison completes Orange Austria merger
03 January 2013 | Kavit Majithia
Hutchison Whampoa has completed its €1.3 billion deal to acquire Orange Austria and secured its position as the country’s third largest mobile operator.
Following a long, drawn out regulation process, the deal has been secured today, with France Telecom getting approximately €70 million for its 35% stake. Private equity group MEP held the remaining 65% stake.
“We are delighted that, after undergoing a lengthy regulatory process, we have finally been able to close this acquisition,” said Jan Trionow, head of local unit Hutchison 3G Austria.
Trionow outlined the company’s commitment to building a nationwide LTE network in Austria in the next two years.
In separate news, Telekom Austria completed the acquisition of discount brand Yesss from Orange Austria.
Despite both transactions winning regulatory approval, Deutsche Telekom T-Mobile’s Austria unit has lodged a court appeal regarding the allocation of radio frequencies.
The deal between Hutchison and Orange Austria will cut the market from four to three, with the two smallest operators combining market share of 24%.