Class Economy Premium: Virgin Media urges Brussels to authorize the sale of O2 to Hutchison

Saturday, February 6, 2016

Virgin Media urges Brussels to authorize the sale of O2 to Hutchison – EntornoInteligente

Cinco Dias / Telecommunications company Virgin Media has urged the European Commission (EC) to approve the purchase of its Spanish rival Telefonica O2 to Hong Kong by the group Hutchison, considering that boost the sector, reported “Financial Times” (FT).

the CEO of Virgin Media, Tom Mockridge, the agreement calls for prosper against the opinion of the director of the British regulator Ofcom communications, Sharon White, who said in the same newspaper that the merger could harm the British consumer.

Mockridge told the FT that “any competition concerns can be addressed without blocking the proposed transaction O2- Three (owned by Hutchison). “

” a combination O2-Three could give more to consumers and, more importantly, offer more capacity to other suppliers who want to lead the competition. with the right remedies, this operation would encourage, rather than undermine, the competition, “he said.

Mockridge gave as an example that” in both cases, Austria and Ireland, the parent company of Virgin Media, Liberty Global, provides vigorous competition and great consumer choice as a result of incorporating the EU remedies “.

Hutchison vowed on Thursday to invest 5,000 million pounds (6,500 million), share its network with rivals and freeze mobile rates in the UK market over the next five years in order to unlock the authorization for the purchase of O2 Telefonica, which other companies have seen as advantageous.

the EC has moved this week to Hutchison their fears that if the company buys Telefonica O2 causes a rise in prices and reduce the options of British consumers.

the Commission notes that the sale of O2 to Hutchison would create the largest mobile network operator in the United Kingdom, which could mean the disappearance of a major rival.

Brussels in October opened a large-scale agreement, since O2 is the second largest mobile operator in the UK and Hutchison already controls the fourth largest operator, Three UK

the document referred to the signing of Hong Kong exposes fears competition regulator and initiates a period of negotiations between the Community authorities and the acquiring company about which solutions will offer the company to help get approval.

the Commission has set April 22 as the deadline for reviewing the merger, but could expand because, if you do not agree with the parties achieved and adjust the purchase to the rules of European competition, the merger will be blocked.

Telefonica and Hutchison closed in March last year the sale of the British subsidiary of the Spanish multinational, O2 UK, the Hong Kong business group by 10,250 million pounds (14,000 million euros).

Virgin Media urges Brussels to authorize the sale of O2 to Hutchison

Information Five Dias

http://entornointeligente.com/articulo/7850634/Virgin-Media-insta-a-Bruselas-a-que-autorice-la-venta-de-O2-a-Hutchison-06022016