1&1 Acquires Versatel for €1.3 Billion, Consolidating Germany’s Fixed-Line and Mobile Infrastructure
The 1&1 deal to acquire Versatel for 1.3 billion euros consolidates Germany’s fixed-line and mobile infrastructure and strengthens control over fiber backhaul and B2B connectivity.
German telecommunications provider 1&1 has agreed to acquire Versatel for 1.3 billion euros, the company announced on Thursday. This is intended to consolidate control over the fixed network and mobile network infrastructure.
Key Details of the Acquisition
The deal includes Versatel’s fiber, mobile backhaul and B2B assets as well as a €950 million loan, which will remain with Versatel but comes with a 1&1 guarantee. The acquisition will enable 1&1 to integrate its mobile and fixed-line activities as the fourth largest location-based mobile operator in Germany.
- The deal includes Versatel’s fiber, mobile backhaul and B2B assets as well as a €950 million loan, which will remain with Versatel but comes with a 1&1 guarantee.
- Versatel’s fiber has expanded from 37,000 km in 226 cities to 67,000 km in 350 cities, now connecting over 27,700 locations.
- The move supports 1&1’s strategy as Germany’s fourth location-based mobile operator, having already migrated 12 million users to its Open RAN network.
According to the announcement, the transaction gives 1&1 ownership of Versatel’s fiber optic network, mobile backhaul infrastructure and business-to-business assets. The deal includes all of Versatel’s assets and liabilities, including a €950 million loan to parent company United Internet.
Impact on the German Fiber Optic Market
Industry analysts have noted that the consolidation of fixed-line and mobile assets strengthens 1&1’s competitive position in the expanding German fiber optic market, which has accelerated after years of slower progress compared to other European countries. The acquisition will enable 1&1 to integrate its mobile and fixed-line activities, benefiting from alignment with Versatel’s fiber infrastructure.
The transaction is subject to regulatory approval. According to industry observers, the deal reflects 1&1’s strategic focus on managing the infrastructure to support private and corporate services in Germany. For more information, visit https://crypto.news/11-to-buy-versatel-for-e1-3b-tightening-grip-on-german-fiber/
