October 12 (SeeNews) - Bulgaria's Commission on Protection of Competition said it will start an in-depth investigation into the agreed takeover of local internet and television provider Telnet by Bulgarian Telecommunications Company (BTC).
The decision was made after the commission established that the potential deal may have unfavourable effects on competition, it said in a statement on Tuesday.
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Through the transaction, BTC, which operates under the Vivacom brand, will significantly increase its market influence nationally and regionally, specifically in the regions of Veliko Tarnovo, Gabrovo and Ruse. The deal will particularly affect the markets for retail fixed internet, wholesale reserved capacity and wholesale and retail line rental.
Based on the findings as well as concerns expressed by the sector regulator, the Communications Regulation Commission, the competition watchdog will make an in-depth analysis to establish if there are sufficient alternative providers of the affected services.
BTC agreed to acquire 100% of the capital of Telnet in December 2021. As a result of the deal, the telecommunications company will obtain indirect control of Telnet's subsidiaries Telnet Security and S.T.V.