European Union antitrust regulators are poised to clear the proposed acquisition of O2 Ireland by Hong Kong-based Hutchison Whampoa, according to sources cited by Reuters.
Hutchison has agreed to pay €850 million to Spanish telco Telefonica for its O2 Ireland subsidiary. The company intends to merge O2 with its 3 Ireland mobile subsidiary.
The acquisition will make Hutchison the second biggest mobile operator in Ireland, behind Vodafone.
The European Commission’s competition directorate is said to have sanctioned the deal in principle
“Now it is just putting together all the details,” a source close to the deal said.
The other major concession includes continuing a network sharing agreement with Ireland’s third biggest operator, Eircom’s subsidiary Meteor.
Hutchison, controlled by Asia’s richest man, Li Ka-shing, wants to reinforce its position in Europe where it operates in six countries.
It recently secured EU approval for its Orange Austria takeover two years ago with similar concessions.
