Deutsche Telekom will offer concessions in the coming weeks to address EU competition concerns about its proposed takeover of Tele2 Netherlands, a person familiar with the matter told Reuters. The companies met with European Commission officials on 08 October to discuss the deal, the report said.
The European Commission sent the company a statement of objections in September, outlining its concerns about the takeover that would reduce the Dutch market to three mobile operators from four. The Commission said the merger of T-Mobile and Tele2 Netherlands could lead to higher prices on the Dutch mobile market.
Deutsche Telekom argued its case before senior Commission officials on 08 October, the report said. Participants at the closed-door hearing included Vodafone, T-Mobile, Tele2, the UK's Competition and Markets Authority and other national antitrust agencies.
The Commission has set a 30 November deadline for deciding on the deal. However, this may be extended if Deutsche Telekom presents concessions, in order to give the Commission more time to study the proposals. Concessions could include offers to reserve network capacity for virtual mobile operators or divest assets to encourage a new player on the market.
