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Telefónica to buy Hansenet for €900m
06 November 2009
Telecom Italia continues its asset disposal by sellling its German broadband unit Hansenet to major shareholder Telefónica for €900 million
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Telecom Italia
Hansenet
Germany
Telefónica
Fastweb
Tiscali
Comment: Telefónica is already one of the most powerful forces in European telecommunications, operating outside Spain through its O2 brand. The Hansenet deal confirms this role — and perhaps is the beginning of a whittling down of Telecom Italia back to its homeland. With Tiscali’s withdrawal from all foreign operations over the past few years, Italian operators have almost lost their international role.
Telefónica will buy Hansenet, Telecom Italia’s German broadband unit, for €900 million. Hansenet — which operates under Telecom Italia’s Alice brand — will give the Madrid-based company an additional coverage of about 2.2 million broadband customers.
The Spanish telecom major still requires the approval of competition authorities on the deal, which is expected to be completed in the first quarter of 2010. The sale of the unit is the part of Telecom Italia’s plan to dispose of non-core assets for up to $4.46 billion.
Telecom Italia sold its Alice operation in France to rival operator Iliad for €775 million.
The acquisition will help Telefónica O2 — its European brand outside Spain — compete in Germany with rivals Vodafone and United Internet as well as Deutsche Telekom.
Meanwhile Telefónica, which operates mainly in Europe and Latin America, has renewed its shareholder pact with Telecom Italia for another three years. The company owns a 10% indirect share of the Telecom Italia through holding company, Telco.
Hansenet, based in Hamburg, was originally owned by Italian broadband operator Fastweb, which sold it to Telecom Italia in 2003. GTB