Telefonica offers remedies for E-Plus deal

Spanish telecoms group Telefonica has offered concessions in a bid to secure European Commission (EC) approval for its proposed acquisition of German mobile operator E-Plus, Reuters reports. Without providing any further details, the EU competition authority said it would decide on the EUR8.55 billion (USD11.9 billion) deal by 23 June. Netherlands-based KPN agreed to sell E-Plus to Telefonica in July 2013 and in December the EC opened an in-depth investigation into the transaction, which if allowed would reduce the number of network operators from four to three, with the enlarged Telefonica becoming the market leader ahead of Telekom Deutschland and Vodafone Germany. If concluded, KPN will receive EUR5.0 billion in cash and a 20.5% stake in the combined entity, though the enlarged cellco would be forced to give up some of its mobile spectrum in the 900MHz and 1800MHz bands, German telecoms regulator the Federal Network Agency has said.