In a statement, Vodafone says that since the agreement was first announced in May this year, “the parties have cooperated extensively with the MCCAA in order to obtain approval for the transaction. However, it has now become clear that the parties are unable to satisfy the MCCAA’s requirements and consequently they have decided to terminate the transaction and withdraw the notification”.
As previously reported by Broadband TV News, Apax Partners Midmarket, Fortino Capital and Vodafone agreed to combine Melita and Vodafone Malta to form a fully integrated communications company.
Melita offers cable and broadband services, with its network covering 99% of Maltese households. Under the proposed terms of the merger, it would have owned 51% of the new company and Vodafone Europe BV, the owner of Vodafone Malta, the remaining 49%.
Melita was valued at €208 million.
Broadband TV News notes that the proposed merger was strongly criticised by Melita’s competitor GO. Its concerns, along with those of consumers, resulted in the MCCAA launching an investigation.