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La Poste Telecom is France’s largest mobile virtual network operator (MVNO), providing services to customers using SFR’s mobile network
French mobile operator Bouygues Telecom has announced the completion of its 100% acquisition of La Poste Telecom for an undisclosed sum.
La Poste Telecom is France’s largest MVNO, with roughly 2.4 million subscribers.
The company was previously majority owned by La Poste Group (51%), while SFR – Bouygues’ rival network operator, over whose mobile network La Poste serves customers – owned the remaining 49%. Following the acquisition, Bouygues will own 100% of La Poste Telecom.
SFR’s wholesale agreement with La Poste expires in 2026, after which the MVNO’s customers will be migrated to Bouygues’ network.
“This strategic move with the La Poste group underlines our ambitions in the B2C market,” said Benoît Torloting, CEO of Bouygues Telecom. “It’s a source of great pride to combine our two brands that enjoy the robust values of a strong local presence, expertise and agility.”
The deal was first announced back in February with the price tag set at around €950 million, though no mention of the final sale price was included in this week’s update.
In fact, the price of acquisition had proved something of a sore point for La Poste Telecom’s shareholders, with SFR seeking a higher valuation before agreeing to sell the business. According to reports earlier this month, the operator was seeking around €700 million for its 49% stake in the business, as well as an increase to the wholesale payments it received from La Poste Telecom for the remainder of its contract.
This week’s update makes no mention of a larger offer or of a renegotiated wholesale contract, though anonymous sources in these previous reports suggest that the offer had been “considerably improved for SFR”.
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