Vodafone/Nowo merger in limbo

 In Companies, Mergers and Acquisitions, News, Telecoms

Telecoms giant Vodafone is facing resistance from Portugal’s competition authority Autoridade da Concorrência (AdC) on the offer it launched in September to buy Nowo.

The group had intended to complete the merger in the first quarter of this year, but does not now expect to get approval before September.
The merger is the subject of a no-stones-unturned investigation by the regulator which means that the AdC sees competition threats from the transaction between Vodafone and the Spanish telecoms company MásMóvil, the current owners of Nowo.
The purchase of Nowo was announced by Vodafone in September 2022, but the AdC has requested “more information” from the operator a source within Vodafone told the online news source ECO.
The source told the news outlet: “Whenever a new request is made (for more details) the clock stops until the regulator receives the documents which ends up delaying an eventual approval. And even with all the right documentation, the AdC could still stop the meter from advancing.
For the time being, the seal of approval is “taking more time than (the company) had expected”. Yet despite reservations from the regulator, which were already voiced by the communications authority ANACOM, Vodafone is said to be confident that it will be able to convince these authorities of what it believes to be the benefits of the merger for the market and the country.