PT angered at AdC stance

21 Dec 2006

Portugal Telecom has reportedly accused the country’s competition authority AdC of bias in favour of Sonaecom, the firm which has launched a hostile takeover bid for PT. Local newspaper Journal de Negocios reports that PT considers the AdC’s stance towards the proposed merger ‘obscene’. PT is angered that the authority has given its preliminary approval to the deal on the condition that the Sonaecom (Optimus) and Portugal Telecom (TMN) wireless networks are kept separate. In a 34-page document filed with the AdC, PT says that this makes ‘creation of a dominant position in the mobile market appear tolerable’.

Meanwhile, Portugal’s stock market watchdog CMVM has cleared Sonaecom and its part-owner France Télécom of colluding in the bid for PT. Dow Jones reports that CMVM has reviewed the case and has found sufficient proof that the French telco has not colluded with Sonaecom to launch the hostile offer. PT executives have in the past accused France Télécom of masterminding Sonaecom’s EUR11.1 billion bid.

Portugal, Optimus (Clix)