European Commission gives green light for T-Mobile Netherlands merger
The European Commission today unconditionally approved a merger between T-Mobile Netherlands and Tele2 NL.
The new company will have annual revenues of more than €2bn (£1.8bn) and will serve roughly 4.3m mobile customers.
T-Mobile Netherlands, a subsidiary of Deutsche Telekom, will buy Tele2’s Dutch operations, reducing the number of operators in the country from four to three.
But an in-depth investigation by the European Commission concluded the merger would raise no competition concerns.
Soren Abildgaard, chief executive of T-Mobile NL, said: "I am very pleased with the decision of the European Commission because it is the best outcome for Dutch consumers and businesses.
“We are committed to continue to disrupt the Dutch telecom market and this transaction will allow us to step up the challenge for KPN and VodafoneZiggo.”
The merger is expected to complete early next year. Tele2 will receive a 25 per cent stake in the new company and a cash payment of €190m.
Margrethe Vestager, head of competition policy at the European Commission, said: "Access to affordable and good quality mobile telecom services is essential in a modern society.
“After thoroughly analysing the specific role of T-Mobile NL and the smaller Tele2 NL in the Dutch retail mobile market, our investigation found that the proposed acquisition would not significantly change the prices or quality of mobile services for Dutch consumers.”