Orange announced the signature of a deal to acquire a controlling 54% stake in Telekom Romania Communications (TKR), currently 54% owned by OTE and 46% by the Romanian State, for purchase price of €268m.
TKR is Romania’s second player in fixed telecoms with revenues of €622m reported in 2019. Through its owned network infrastructure, TKR provides fixed voice, broadband and pay-tv services to 5 million customers and its approximately 90,000 km fibre network connects some 3 million households.
Orange Romania reported €1.1Bn revenues in 2019 and is the number one mobile operator in Romania.
This transaction represents a step forward in Orange’s ambitions to become a convergent actor in the Romanian market. The closing of the transaction is subject to customary condition precedents and notably antitrust clearance by the European Commission.
Orange is advised on the competition law aspects by an antitrust team in Paris led by partners Jacques-Philippe Gunther and Adrien Giraud, assisted by Mathilde Ayel, Simon Troch, Juliette Raffaitin and Clément Pradille.
Freshfields advises OTE with an antitrust team led by partners Thomas Wessely and Andreas Von Bonin, with Sarah Mcgourty, Zoran Janevski and Vanessa Van Weelden.
In London, Norton Rose Fulbright advises Orange in corporate law while Dechert advises OTE.