Orange has completed its acquisition of 54 percent stake in Telekom Romania (TKR), a leading fixed operator, for €296 million.
The remaining 46 percent stake will be retained by the Romanian State.
Orange’s strategy is to become the preferred convergent services provider in Romania, with a firm commitment from Orange to pursue its investments in the Romanian telecom sector. Orange did not reveal additional details on its investment in Romania.
Thanks to this acquisition, Orange, as the number one mobile operator in Romania and now with the combined strength of TKR’s fixed network, will create a fixed and mobile convergent operator across Consumer, Business and ICT markets.
TKR is Romania’s second largest player in fixed telecoms with revenues of €633 million reported in 2020. Through its owned network infrastructure, TKR provides fixed voice, broadband and pay-tv services to around five million customers and its approximately 90,000 km fibre network connects almost three million households.
It also provides convergent services to close to 916,000 fixed-mobile convergent subscribers, as at 30 June 2021 through an MVNO contract with Telekom Romania Mobile. These customers will be migrated to Orange Romania’s network, following the completion of the transaction.
Both companies will continue to operate as two separate legal entities. Liudmila Climoc will continue her responsibilities as CEO of Orange Romania. Today, the TKR Board of Directors has appointed Andrei Popovici, as CEO of TKR.
Liudmila Climoc, CEO, Orange Romania, said: “Together, we will build for our customers a complete offer with extended fixed coverage, mobile services from Orange, including expanding 5G coverage, more varied TV content and ICT solutions that support the digital transformation of businesses and public administrations.”