Sweden's Tele2 announced Thursday its takeover of the second-biggest Austrian telecommunications operator, UTA Telekom. According to the homepage of the Swedish firm, the purchase price for the 100 per cent takeover was 213 million euros. The price was on a debt-free basis. The deal had already been signed, and only needed approval by cartel authorities. Tele2 has had a subsidiary company in Austria since 1999. The new firm under the takeover offers fixed, mobile phone and internet services for private and business customers. With a total turnover of 330 million euros, it will be the main competitor of Telekom Austria (TA). TA is the main Austrian telecommunications company, in which the state holding company for industry OEIAG has a 15 per cent share. UTA achieved a 213 million euro turnover in 2003. It presently employs 460 workers and has 520,000 phone and 345,000 internet customers, including 78,000 firms. Up till now, 75 per cent minus one share of UTA was owned by a consortium of eight energy companies in the Austrian provinces. 25 per cent plus one share was held by the Raiffeisen banking group.
