Vodafone Group to terminate merger with Melita
Despite "extensive" cooperation with the Maltese Competition Authority, Vodafone said it has become clear the deal would not satisfy the regulator's requirement and consequently the merger has been terminated.
In May, Vodafone announced it had signed a deal with Apax Partners Midmarket SAS and Fortino Capital to combine its subsidiary Vodafone Malta with Melita, a cable, broadband, and pay television provider whose network covers 99% of Maltese households.
The combined company's mobile and enterprise business would have operated under the Vodafone brand, distributing a wide range of services including Vodafone's global portfolio of products and services and benefiting from access to Vodafone's expertise in mobile and fixed operations worldwide, Vodafone said at the time.
Melita shareholders would have held 51% of the new combined company while Vodafone would have had the other 49%. The deal valued Vodafone Malta at EUR208 million and Melita at EUR298.0 million.
The Malta agreement followed a much bigger merger in India announced by Vodafone in March. Vodafone agreed to merge its subsidiary Vodafone India with rival domestic carrier Idea Cellular, creating the largest telecoms operator in India, a process still ongoing. ■