European Commission approves CDP/Macquarie takeover of Open Fiber
The European Commission has approved a purchase plan that will see CDP Equity S.p.A. and Macquarie Group Ltd. take control of Italian fiber broadband infrastructure provider Open Fiber. CDP already owns a stake in Open Fiber; the deal essentially buys out current co-owner Enel while increasing CDP’s stake in Open Fiber.
The 2.12 billion euro deal for Macquarie’s 40% portion of Open Fiber was announced this past August (see “Macquarie signs agreement to take stake in Italy’s Open Fiber”). CDP is to pay €530 million to increase its stake from 50% to 60%. In reviewing the transaction’s details, the European Commission concluded that CDP’s partial ownership of Telecom Italia S.p.A. didn’t pose an increased threat to competition in that CDP already had a stake in both companies already. Similarly, it concluded that Macquarie’s holdings in various communications companies inside and outside of Italy should have no effects on competition in the Italian market.
Open Fiber operates an open FTTH network that passes more than 12 million households in more than 180 urban centers and more than 2,300 rural municipalities across Italy. The company plans to pass more than 19 million households in the future.
In blessing the deal despite CDP’s ownership stakes in Telecom Italia and Open Fiber, the European Commission stated, “the possible anticompetitive concerns are not specific to the proposed transaction.” Those concerns center around widespread speculation that the changes in ownership would pave the way toward some sort of tie-up between Telecom Italia and Open Fiber.
For related articles, visit the FTTx Topic Center.
For more information on FTTx technology and suppliers, visit the Lightwave Buyer’s Guide.
To stay abreast of fiber network deployments, subscribe to Lightwave’s Service Providers and Datacom/Data Center newsletters.
Stephen Hardy | Editorial Director and Associate Publisher, Lightwave
Stephen Hardy is editorial director and associate publisher of Lightwave and Broadband Technology Report, part of the Lighting & Technology Group at Endeavor Business Media. Stephen is responsible for establishing and executing editorial strategy across the both brands’ websites, email newsletters, events, and other information products. He has covered the fiber-optics space for more than 20 years, and communications and technology for more than 35 years. During his tenure, Lightwave has received awards from Folio: and the American Society of Business Press Editors (ASBPE) for editorial excellence. Prior to joining Lightwave in 1997, Stephen worked for Telecommunications magazine and the Journal of Electronic Defense.
Stephen has moderated panels at numerous events, including the Optica Executive Forum, ECOC, and SCTE Cable-Tec Expo. He also is program director for the Lightwave Innovation Reviews and the Diamond Technology Reviews.
He has written numerous articles in all aspects of optical communications and fiber-optic networks, including fiber to the home (FTTH), PON, optical components, DWDM, fiber cables, packet optical transport, optical transceivers, lasers, fiber optic testing, and more.
You can connect with Stephen on LinkedIn as well as Twitter.