Swisscom’s Fastweb-Vodafone Italia Merger Gains Momentum with Antitrust Approval Pending

Swisscom’s ambitious plan to merge its Italian subsidiary, Fastweb, with Vodafone Italia took a significant step forward after Italy’s antitrust body indicated that proposed measures to address competition concerns were deemed acceptable. According to Reuters, three sources familiar with the matter confirmed that while a final decision is still pending, the antitrust authority’s positive assessment suggests the deal is on track for approval.

The Italian Competition Authority (AGCM) is conducting a thorough review of Swisscom’s €8 billion ($8.3 billion) acquisition of Vodafone Italia, which would subsequently merge with Fastweb. Approval from the AGCM is a critical step in the process, and Swisscom has offered a series of behavioral commitments designed to alleviate concerns about the merger’s potential impact on competition in key markets.

As reported by Reuters earlier, Swisscom’s proposals include granting competitors access to Fastweb’s fibre infrastructure and ensuring transparency in public tenders for telecommunications services. These measures aim to safeguard competition in both the fixed-line wholesale market and retail services targeted at public administration and corporate clients.

Related: Swisscom Gains Italian Approval for Vodafone Deal, Awaits Antitrust Decision

This week, the AGCM communicated its preliminary findings to the parties involved, as well as to their competitors. According to the sources, the watchdog found the proposed remedies sufficient to address concerns, contingent on their implementation over a three-year period. Feedback from competitors on these findings is due by November 24.

The AGCM is expected to conclude its detailed assessment by December 10, clearing the path for Swisscom to finalize the transaction in the first quarter of 2024. The approval process marks a crucial milestone in Swisscom’s strategy to strengthen its presence in the Italian telecom market through the merger.

Neither Swisscom, Vodafone, nor the AGCM have provided official comments on the developments.

Source: Reuters