The Competition Authority decided to proceed with a thorough investigation into the purchase intention of Bragatel and Pluricanal by Zon Multimédia. The information is advanced on the market regulator’s website and justified with the possible ability to «create or reinforce a dominant position which may result in significant barriers to competition», which the business may close.
The entry of the possible business in a second phase of investigation means that the first analysis did not allow the regulator to assess in detail the possible impacts of the operation on the Portuguese pay-TV market.
The intention to buy Bragatel and Pluricanal from businessman Joe Berardo was announced by TV Cabo, still an asset of PT Multimédia of the PT group in August. Since then it has been appreciated by regulators. In the case of the Regulatory Entity for Social Communication, the result of the analysis was known last January.
The acquisition of Joe Berardo’s companies will cost Zon Multimédia 65 million euros.
Related News:
2008-01-18 – ERC sees no impediments in the PT Multimédia / Bragatel and Pluricanal business
2007-08-06 – PT Multimédia reinforces the cable with the purchase of Bragatel and Pluricanal
