CE approves STT bid for Eircom

The Competition Authority has approved the proposed acquisition of Eircom by Singapore-based STT Communications Ltd.

The Competition Authority has approved the proposed acquisition of Eircom by Singapore-based STT Communications Ltd.

The authority said the A$225 million deal, which is due to be completed on January 4th, did not raise competition concerns in the State.

“The companies have been informed of the decision that the proposed transaction will not lead to a substantial lessening of competition in any markets for goods or services in the State,” it said in a statement issued this evening.

Under the terms of proposed deal, the Singapore telco would pay A$225 in cash and shares to Sydney-based Eircom Holdings (ERC) – formerly known as Babcock Brown Capital - for close to a 50 per cent stake in Eircom.