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M&A forces Austria to postpone LTE spectrum auction

Austria’s telecommunications regulatory body has postponed plans to auction wireless spectrum in the 800 MHz, 900 MHz and 1.8 GHz band targeting the launch of LTE services due to a pending acquisition by a pair of the country’s largest wireless operators. The auction was originally scheduled to begin in September.

The postponement followed the announced plans by Hutchison 3G Austria to acquire Orange Austria’s assets from France Telecom and Mid Europa Partners. The deal would unite the country’s No. 3 and No. 4 operators.

Hutchison in turn agreed to sell a portion of Orange Austria to Telekom Austria for $515 million. Those assets are to include 26 megahertz of spectrum spread across the 900 MHz, 2.1 GHz and 2.6 GHz band; 634 base stations; and Orange Austria’s Yesss! wireless operations that include more than 740,000 customers.

Austria’s Broadcasting and Telecommunications Regulatory Authority noted that with three of the four potential bidders in the auction involved in transactions, it has decided to postpone the auction process.

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