Chile watchdog green lights KKR acquisition of majority stake in Telefonica fiber unit

摘要

Chilean anti-trust watchdog FNE has approved the proposed acquisition of a majority 60 percent stake in Telefonica's local fiber-optic network by global investment firm KKR. The partners announced the US$ 1 billion deal earlier this year, adding that they intended to convert the subsidiary - dubbed InfraCo - into Chile's first open access wholesale fiber-optic company, building, operating and selling infrastructure as well as providing wholesale services to all current and future telecom operators.The regulator said the transaction would not substantially reduce competition in the marketplace since KKR has no existing presence the markets in question, while the sale would in fact promote the use of Telefonica's infrastructure by other companies, thus facilitating the entry of new broadband providers, above all in certain geographical areas.