February 1 (SeeNews) - Dutch-based media business United Group said on Thursday a statement by the leader of one of Bulgaria's governing parties WCC, Kiril Petkov, that a potential regulatory approval of the company's proposed acquisition of local pay-TV and broadband services provider Bulsatcom is a cause for concern, represents "unacceptable political interference".
"Mr Petkov commented on a potential future decision based on rumours and assumptions spread in the media. In this way, Mr Petkov is trying to influence the future decision of the independent regulator," United Group said in a press release.
You can subscribe to our M&A newsletter here
On January 31, Petkov expressed concern over the transaction's potential approval by Bulgaria's Commission on Protection of Competition (CPC), claiming it will affect television pricing, selection options and supply accessibility, with reports by the Communications Regulation Commission suggesting nearly 60% market share of United Group following the deal, as seen in a video broadcast by private channel bTV.
"This behaviour violates Bulgarian and EU legislation. [...] We believe in the independence of Bulgarian institutions and in their ability to oppose the overt interference of political leaders," United Group said.
At the end of December, Bulgaria's antitrust regulator announced that it has launched an in-depth investigation of United Group's attempt to acquire indirect control of Bulsatcom and direct control of its owner, Viva Corporate Bulgaria, saying the deal will lead to both horizontal overlap and vertical effects. The CPC has yet to announce its decision on the notified transaction.
In Bulgaria, Southeast Europe-focused United Group owns telecommunications operator Vivacom and Nova Broadcasting Group.