BT given green light for EE takeover

BT given green light for EE takeover

BT Group’s takeover of EE has been given the green light by the Competition and Markets Authority (CMA).

The takeover will see the UK’s largest fixed-line business and the biggest mobile telecoms business come together in a £12.5bn deal.

This move will see fixed-line phones, broadband, mobile and TV all come under the umbrella of the recently-established communications giant. 

CMA gave the scheme final clearance on the grounds that it was unlikely to harm competition due to BT being “smaller in mobile” and EE being a “minor player” when it comes to broadband. 

The watchdog carried out a complex, detailed and rigorous assessment before giving the project the go-ahead and took into account the concerns raised by other operators and customers in the UK telecoms industry. 

The inquiry group looked into ten areas of concern outlined in a July 2015 issues statement, as well as the overall impact on the industry.

John Wotton of the CMA commented: "The evidence does not show that this merger is likely to cause significant harm to competition or the interests of consumers."

However, other companies did not agree with the statement, with competitor Vodafone stating that it still had “wider market concerns”. 

Gavin Patterson, chief executive of BT, touted the combination of BT and EE as a “digital champion for the UK”.

It will provide high levels of investment and drive innovation in a highly competitive market, he added.