Entel, GTD merger called off

11 Jan 2012

The planned merger of Grupo GTD and Entel Chile has been called off after GTD’s controlling shareholder, Juan Manuel Casanueva, backed out of the deal. The reason for Casanueva’s withdrawal from the process has not yet been made clear, although local newspaper Diario Financiero claimed that the decision was prompted by changes to the agreement made by Entel. Another possible cause for the retraction might be the conditions imposed on the merger by the competition watchdog, the Free Competition Tribune (Tribuna de Defensa de la Libre Competencia, TDLC), which involved the combined entity selling off 50MHz of spectrum in the 3.4GHz-3.6GHz frequency band.

Chile, Entel Chile, Grupo GTD (incl. Telsur)