UPDATE Following the announcement of its acquisition of Vodafone Italia in March, Worblaufen, Switzerland-based telecom service provider Swisscom reported the transaction on August 19 to the EU Commission, Directorate-General for Competition, under the Foreign Subsidies Regulation. On September 23, the EU Commission confirmed that the waiting period had elapsed, thus clearing the transaction unconditionally.
Swisscom says the completion of the Vodafone Italia transaction is on track. The company secured the financing for the purchase price of $8.9 billion in May and has received unconditional approval from both the Presidency of the Council of Ministers in Italy, under Italy’s Golden Power legislation, and the Swiss Competition Commission. Golden Power legislation in Italy grants the Italian government special power to intervene in private investments and corporate transactions that operate in sectors deemed strategic for national security and public order, such as telecommunications.
The deal is still not completely out of the woods. The transaction is still subject to other regulatory approvals, including that of the Italian Competition Authority which announced on September 11 that it had opened a Phase II in-depth investigation to assess the acquisition under Italy’s merger control rules. Nonetheless, Swisscom expects the transaction to be completed in the first quarter of 2025.
By John Celentano, Inside Towers Business Editor
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