Sale of Telekom to Orange and RCS & RDS is very far from being completed, this became official today when I found out that the launch of 5G in Romania has been postponed to 2020. The sale of Telekom to Orange and RCS & RDS is not related to the launch of 5G, but it is related to the changes that are happening now at the government level, they represent one of the reasons why we will not have 5G on the correct frequencies in 2019.
Telekom has notified the state authorities of its intention to sell its fixed and mobile services divisions to Orange and RCS & RDS, and the authorities have already had a first meeting to discuss its approval. This happened more than a month ago, and until now there has not been another meeting to discuss the approval of the sale of the Telekom divisions to Orange and RCS & RDS in 2019.
IT'S OFFICIAL, the sale of Telekom to Orange and RCS & RDS is POSTPONED
Orange and RCS & RDS will have a long time to wait for an approval because the Romanian state takes into account its right of pre-emption when buying the share package held by Deutsche Telekom in the fixed division of Telekom. Considering that the government is changing, no decision is made until the new one comes, so Orange and RCS & RDS can do nothing but watch carefully what will happen on Monday at the vote for the new government.
Telekom could also have to participate in the auction for 5G frequencies if things are not resolved more quickly within the team that decides whether its divisions will be sold to those from Orange and RCS & RDS. This would be a problem for the company, which would have to spend tens or over 100 million on frequencies, and the money would have to be recovered from RCS & RDS, if it still wants to buy the fixed services division in 2020.
Orange has agreed to buy the fixed services division of Telekom, RCS & RDS is still negotiating with the German group, but it will surely reach an agreement with them, and the transaction will probably be completed in 2020.
