Press Release: Mergers: Commission opens in-depth investigation into Orange’s proposed acquisition of Jazztel

The European Commission opened on the 4 December 2014 an in-depth investigation to assess whether the proposed acquisition of Jazztel p.l.c., a telecommunications company registered in the United Kingdom but mainly active in Spain, by rival Orange S.A. of France was in line with the EU Merger Regulation. In Spain, Orange operated mobile and fixed telecommunications networks while Jazztel operated a fixed telecommunications network and offered mobile telecommunications services on Orange's network. The proposed transaction would reduce the number of nationwide providers of fixed telecommunications services in Spain from four to three. While the merged entity would not be in a dominant position, the Commission had concerns that the proposed transaction may lead to a significant loss of competitive pressure for fixed Internet access services and fixed-mobile multiple play offers. The loss of Jazztel as an important competitive force could lead to price increases for these services for customers in Spain. The opening of an in-depth investigation did not prejudge the outcome of the investigation. The Commission now has 90 working days, until 24 April 2015, to take a decision.

ESO: Background information: Mergers: Commission approves acquisition of ONO by Vodafone http://www.europeansources.info/record/press-release-mergers-commission-approves-acquisition-of-ono-by-vodafone/

European Commission: DG Competition http://ec.europa.eu/competition/index_en.html

European Commission: Competition: Mergers http://ec.europa.eu/competition/mergers/legislation/regulations.html

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