EU approves Telefonica buy of Cesky Telecom

Spain's Telefonica won permission from the European Commission on June 10, to purchase operator Cesky Telecom from the Czech government. "The Commission concluded that the transaction will not significantly impede effective competition in the EEA (European Economic Area) or any substantial part of it," the European Union executive said in a statement.
The 82.62 billion crown ($3.6 billion) deal will give badly needed cash to the Czech government and permits the Spanish company to get into new European markets. Cesky is Eastern Europe's most profitable phone company and has a virtual fixed-line monopoly.
"The government considers the price as a success of the privatisation process. The price was by 25 percent higher than the price on the stock exchange," Finance Minister Bohuslav Sobotkahe told reporters when the government approved the deal earlier this year.