BUCHAREST (Romania), January 7 (SeeNews) – Romania’s competition authority said on Friday it has approved the takeover of 50% interest in local companies Netcity Telecom and Concesiune Telecom from E-INFRA Holding by French global investor and asset manager Meridiam.
“Following a review of the transaction, the Competition Council has found that it does not raise significant obstacles to effective competition in the market, in particular by establishing or strengthening of a dominant position,” the anti-trust body said in a statement.
The value of the transaction was not disclosed.
Netcity Telecom operates Bucharest’s 1,760 km long underground fiber optic network. Concesiune Telecom does not carry out operations, its purpose being to ensure guarantees for the execution of the concession agreement concluded with the Bucharest municipality in order to develop the Netcity network.
In December, Meridiam announced that it has acquired a co-controlling stake in the two companies from E-INFRA in order to accelerate the development the fiber optics network in Bucharest. “This project will help attract investments by the global digital industry in Bucharest,” Meridiam Europe Chief Operating Officer Matthieu Muzumdar said at the time.
Netcity Telecom and Concesiune Telecom are now 50% owned by Romanian internet service and infrastructure provider Direct One, which is part of the E-INFRA Holding alongside Electrogrup SA, Electrogrup Inc., and natural gas and electricity producer, provider and distributor Nova Power & Gas S.R.L.
Direct One bought Netcity from Romanian information and technology holding UTI in 2016.
(1 euro=4.9431 lei)
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