Orange will buy Telekom's fixed services division, this having already been sent to the Romanian Government, which is analyzing the transaction, and should give its consent in the following weeks to complete the purchase. Those from Orange remained quite silent during the whole period when there were rumors according to which they would like to buy the fixed services division of Telekom, but now they have finally made a statement regarding the plans they have.
Orange offered the statement below for the press who asked about his intentions vis-à-vis the acquisition of the Telekom division, and of course he did not say anything clearly, as is usually the case. Orange has not confirmed, or denied, the fact that it intends to buy any division of Telekom, but things will most likely happen exactly as in the rumors, since the Government has started to analyze this transaction.
Orange is talking about the PURCHASE of Telekom Romania Operations
Orange will buy Telekom's fixed services division in order to complete what it currently lacks, i.e. fixed internet infrastructure, the operator now using Telekom's, with significant costs. Considering that Telekom wants to give up everything, Orange will bring several million customers to its network, that is, both those who have internet and those who have television or landline services.
"Orange Group's ambition continues to focus on the position of leading operator of fixed and mobile communications in Europe and we are evaluating the existing opportunities in the countries where we operate to advance this strategy. As usual, we will keep stakeholders informed of relevant corporate decisions, but as a matter of principle we do not comment on speculation regarding local M&A markets."
Orange will strengthen its leading position on the telecommunications market in Romania with this acquisition, adding more than 2 million new customers who now use Telekom's fixed services. It is not known how much this acquisition would cost, but Orange will definitely have to shell out a considerable amount to let Telekom get rid of half of its business in Romania, possibly in 2019.
Orange and Telekom will not officially confirm what is happening until the documents have been signed, so there are still a few months of uncertainty regarding the evolution of things.
