Europe

CMA consults on Netomnia deal remedies as nexfibre says it will submit none

The UK regulator is examining a potential loss of competition in wholesale fibre. Nexfibre shareholders dispute its provisional findings; the transaction remains under review.

The UK Competition and Markets Authority (CMA) opened a consultation on October 20 on possible remedies for nexfibre’s proposed acquisition of Substantial Group, Netomnia’s parent. Its provisional findings identify a possible reduction in competition in wholesale fixed broadband. The CMA will accept comments on potential remedies until October 27. The case remains open and its statutory deadline for a decision is December 15; there is no final prohibition. [1]

InfraVia, Liberty Global and Telefónica, nexfibre’s shareholders, say they have not submitted a remedies package because they dispute the regulator’s assumptions, according to a joint statement reported by ISPreview. That is the companies’ position, not a CMA finding. The absence of a proposal does not mean they have abandoned the acquisition. [2]

The deal announced in February valued the transaction at about £2 billion and envisaged bringing Substantial’s fibre network into nexfibre. For providers buying wholesale access, the regulatory outcome will determine whether that consolidation may proceed and on what terms. The archive photograph shows Community Fibre infrastructure in London in 2022; it is not owned by the companies in this transaction. [1][3]

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