EU: Hutchison rules out more EU remedies to secure O2 bid

Hutchison Holdings will not offer EU regulators further concessions to secure a takeover of Telefonica’s O2 and is ready to challenge a rejection of its bid, sources familiar with the matter said.

The Hong-Kong-based group still hopes to persuade the European Commission to allow its $15 billion bid to become Britain’s biggest mobile operator, which will cut the number of players from four to three.

But although talks with Brussels are still going on, Hutchison, controlled by Asia’s richest man, Li Ka-shing, will not offer any more concessions, two sources told Reuters.

“Hutchison has gone out of its way to offer substantial remedies for the O2 deal. It will fight in court if EU regulators want to block the deal,” one of the sources said.

The proposed combination could pave the way for consolidation in other European markets, including Italy where Hutchison and Vimpelcom agreed last year to merge their mobile units.

Full Content: Reuters

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