The Dominican Telecommunications Institute (Instituto Dominicano de las Telecomunicaciones, Indotel) has confirmed that it is reviewing a merger application submitted by Netherlands-based Altice Group to formally combine its two separate Dominican Republic telecoms businesses, Orange Dominicana and Tricom. As per Altice’s request, full-service telco Tricom will have its authorisations, assets and liabilities absorbed by mobile operator Orange. Going forward, the watchdog intends to assess whether or not the tie-up would represent ‘an economic concentration’ within the Dominican market, and also judge whether or not ‘corrective measures’ will need to be implemented in terms of interconnection agreements with other players.
In November 2013 the Altice Caribbean holding company signed an agreement to acquire Tricom from Hispaniola Telecom, a company controlled by Amzak Capital Management and Inversiones Bahia, for USD400 million. Later that month, Altice agreed to buy Orange Dominicana from Paris-based Orange Group for EUR1.1 billion (USD1.435 billion). Despite suggestions that the two businesses would be merged with immediate effect, they have continued to trade separately during the ensuing four-year period.