Kabel Deutschland (KDG) is acquiring cable operator Tele Columbus, according to Financial Times Deutschland.
No financial details have emerged, but insiders value the operator at between €600-800 million.
The deal will be subject to approval from the German cartel office, the Bundeskartellamt. Should it close, KDG will have successfully outbid its rivals Deutsche Telekom and Liberty Global, who both are believed to be interested in buying Tele Columbus. However, the Bundeskartellamt so far has not confirmed that the deal was submitted for approval, casting some doubt on if it was indeed made.
Apart from Tele Columbus, the other relatively large independent operator is Primacom, which is also up for sale.
Consolidation is now starting to happen in Germany. However, there are still dozens and dozens of small to medium sized private operators scattered across the country and these are the ones that usually have the relation with the actual customers (level 4).
Buying up these small operations would make sense for the incumbent cablers as in many cases they just have the level 3 infrastructure.
