Norway: Watchdog objects to TeliaSonera’s Tele2 buy

Norway’s antitrust regulator has reportedly issued a statement of objections to TeliaSonera against its proposed acquisition of Tele2.

The Norwegian Competition Authority voiced its objection to the $687 million purchase on grounds the deal would merge two of the nation’s three largest wireless operators. The deal could significantly harm competition in an already concentrated market, the authority said, adding that a final decision on the acquisition has not yet been made.

In a statement, the regulator’s Diretor General Christine Meyer said that the Authority is concerned “the acquisition will harm the competition climate.”

”The result is likely to be higher prices and lower quality for consumers,” the official said.

An acquisition of Tele2 would place about 40 percent of the wireless market in the hands of TeliaSonera. The deal would also pit TeliaSonera against market leader Telenor, the nation’s largest mobile carrier.

TeliaSonera has reportedly offered concessions on the deal, and the Authority is slated to deliver a final ruling by January 15.

Full content: Bloomberg

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