Belgium
KPN Mobile will acquire 50 percent of Belgian operator KPN Orange Belgium from France Telecom for US$443.5 million, giving KPN 100-percent ownership. France Telecom had to divest its KPN Orange ownership, which it acquired through its acquisition of Orange plc earlier this year, to fulfill European Commission directives. France Telecom also owns 51 percent of Belgium’s second-largest operator Mobistar and could not hold stakes in two Belgian carriers. KPN Mobile will retain the right to use the Orange brand in Belgium until 1 October, 2002.
Germany
Telenor said it would exercise its option to sell its 10-percent stake in Viag Interkom to British Telecommunications. The transaction, expected to be completed in January, is valued at more than US$2.26 billion. Telenor said the payment will mainly go toward down payment of loans. The deal will give British Telecom 100-percent control of Viag, in which it purchased another 45 percent last August.
Ireland
Vodafone Group agreed to acquire the business of Eircell, Eircom’s mobile operator, for about US$4.1 billion in stock. According to the deal, Eircell will be demerged from Eircom into a newly incorporated company, Eircell 2000, followed by a recommended offer for Eircell 2000, to be made by UBS Warburg on behalf of Vodafone.
British Telecom and Telenor agreed to extend Telenor’s put option on Irish mobile operator Esat Digifone from 7 December to 7 February. Under an agreement between BT and Telenor reached earlier this year, Telenor has the right to exchange its 49.5-percent shareholding in Esat Digifone for a 33-percent stake in the Esat Telecom Group.
Italy
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