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TELIA - Telia AB News Story

SEK36.84 0.2  0.6%

Last Trade - 17/05/21

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

UPDATE 1-EU regulators to investigate Telia's $957 mln bid for Bonnier

Fri 10th May, 2019 4:30pm
(Adds details, background, Telia statement)
    By Foo Yun Chee
    BRUSSELS, May 10 (Reuters) - Swedish telecoms operator
Telia's  TELIA.ST  $957 million bid for Bonnier Broadcasting may
stymie rivals in Sweden and Finland and push up prices, EU
antitrust regulators said on Friday as they opened a full-scale
investigation into the deal.
    Telia, which unveiled the deal in July last year, is
following in the footsteps of other telecoms providers which
have snapped up media companies to try to compete with big
internet players such as Netflix  NFLX.O  and Amazon  AMZN.O . 
    Bonnier's brands include Sweden's biggest commercial
broadcaster TV4, streaming service C More and Finnish MTV. It
competes with state broadcaster SVT.
    The European Commission said concessions offered last month
by Telia were insufficient, confirming a Reuters story.
 urn:newsml:reuters.com:*:nL5N22L6YB
    It cited a number of concerns such as the possibility of
rivals being shut out from accessing Bonnier's TV channels.
    "This could result in weakening the constraint currently
exercised by competitors on Telia Company and could lead to
higher prices of audio-visual services or less choice for
consumers in Finland and Sweden," the EU competition enforcer
said.
    It said the merged company could block rivals 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.
    Another worry was that customers from competing mobile and
fixed internet providers might not get access to the merged
company's streaming application. The Commission set a Sept. 19
deadline for its decision.
    Telia said it was confident of resolving the Commission's
concerns and that it expected to be able to complete the
acquisition in the second half of this year.

 (Reporting by Foo Yun Chee; Editing by Mark Potter)
 ((foo.yunchee@thomsonreuters.com; +32 2 287 6844; Reuters
Messaging: foo.yunchee.thomsonreuters.com@reuters.net))
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