Brussels approves with conditions the purchase of Jazztel by Orange

Orange has committed to transferring its independent fiber to the home (FTTH) network that includes between 700,000 and 800,000 real estate units in 13 urban municipalities.

This Tuesday, the European Commission approved with conditions the public takeover offer presented by the French company Orange for the entire operator Jazztel, mainly active in Spain.

The operation is subject to Orange fully complying with a series of commitments that it presented to Brussels to clear up its doubts that it could lead to an increase in prices for fixed internet services for Spanish consumers.

To approve the operation, the Commission understands that "Spanish consumers would not have to bear higher prices for fixed Internet access. With the corrective measures adopted in this merger, a new operator will be able to penetrate the market and compete with the same vigor with which Orange and Jazztel currently do."

Orange has committed to transferring its independent fiber to the home (FTTH) network that includes between 700,000 and 800,000 real estate units in 13 urban municipalities, including Madrid, Barcelona, ​​Valencia, Seville and Malaga.

It has also committed to offering wholesale access to Jazztel's national ADSL network to the purchaser of the FTTH network for a period of up to eight years.

Following the Brussels ruling, Orange has free rein to present the takeover prospectus for Jazztel before the National Securities Market Commission (CNMC).