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TELIA - Telia AB News Story

SEK36.64 0.1  0.3%

Last Trade - 14/05/21

Sector
Telecoms
Size
Large Cap
Market Cap £12.76bn
Enterprise Value £21.14bn
Revenue £7.54bn
Position in Universe 55th / 1832

EXCLUSIVE-Telia offers concessions as EU probes Bonnier deal - EU document

Mon 2nd September, 2019 5:40pm
(Adds Telia comment, European Commission declines to comment)
    By Foo Yun Chee
    BRUSSELS, Sept 2 (Reuters) - Swedish telecoms operator Telia
 TELIA.ST  has offered concessions to allow rivals fair access
to its TV channels to address EU antitrust concerns about its
$957 million bid for Bonnier Broadcasting, an EU document seen
by Reuters showed.
    Telia announced the Bonnier deal in July last year,
underlining the telecoms industry's attempt to try to compete
with big internet players such as Netflix  NFLX.O  and Amazon
 AMZN.O  by acquiring media companies.
    But EU competition enforcers expressed concerns about the
deal such as the possibility of rivals being unable to access
Bonnier's TV channels once the deal is completed, or blocked
from accessing TV advertising space on its free-to-air and basic
pay TV channels in the markets for retail mobile
telecommunication, fixed internet and TV services.
    To allay the European Commission's worries, Telia has
offered to grant TV distributors in Sweden and Finland fair and
reasonable access to its free-to-air and basic pay TV channels,
according to the document.
    Telia also offered fair access to its premium sports
channels and the Liiga channel package which features the first
division men's Finnish ice hockey league. 
    Telia also pledged to grant a licence to its TV channels to
one internet provider in Sweden and Finland respectively, and
committed to sell advertising space on its TV channels on fair
and reasonable terms to telecoms providers and TV distributors
in Sweden and Finland.
    The concessions are likely to assuage regulatory concerns
and ensure the deal gets through, said a person familiar with
the matter.
    The Commission, which is scheduled to decide on the deal by
Nov. 19, declined to comment.
    Telia said: "In order not to interfere with this process, we
do not want to go into detail about what concessions have been
offered." 
    Bonnier's brands include Sweden's biggest commercial
broadcaster TV4, streaming service C More and Finnish MTV. It
competes with state broadcaster SVT. Critics have cited media
plurality in Sweden and Finland as one reason for concerns about
the deal.

 (Reporting by Foo Yun Chee, additional reporting by Johan
Ahlander in Stockholm. Editing by Jane Merriman)
 ((foo.yunchee@thomsonreuters.com; +32 2 287 6844; Reuters
Messaging: foo.yunchee.thomsonreuters.com@reuters.net))
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