The Bulgarian Commission on Protection of Competition (CPC) has authorised Telekom Austria’s takeover of the cable operators Spectrum Net and Megalan Network, thereby making its subsidiary M-Tel into one of the country’s leading providers of broadband internet and pay-TV services.
The deal, which was first announced in September, will see M-Tel pay €72 million out of existing cash flow, including a performance oriented €14.5 million by the end of 2011.
Spectrum Net has a presence in 13 cities, while Megalan Network is the fixed broadband market leader in the capital, Sofia. Both will operate as separate companies for 18 months.