On 26 June, Bouygues Telecom announced that it had "signed an exclusive agreement with Euro-Information, a Crédit Mutuel group company, with a view to acquiring 100% of the capital of its subsidiary Euro-Information Telecom (EIT) and entering into an exclusive distribution partnership". Little known to the general public, this operator markets its packages under the Crédit Mutuel Mobile, CIC Mobile, NRJ Mobile, Auchan Telecom or Cdiscount Mobile brands. Existing since 2015, it has its own core network and agreements as a virtual operator with Bouygues Telecom, Orange and SFR.

 

An agreement that "is fully in line with Bouygues Telecom's growth strategy". EIT is France's leading alternative operator with a distribution network of "more than 4,200 Crédit Mutuel local branches and CIC bank branches, 30,000 customer advisers" and a customer service team of more than 550 people.

 

As a reminder, Bouygues Telecom claimed a fleet of mobile rate plans excluding MtoM of "11.7 million customers at the end of March 2020" while Euro-Information Telecom announced that it had passed the "2 million customer mark" at the end of November 2019. A purchase that could therefore enable Bouygues Telecom to come back neck and neck with Free Mobile and its 13.3 million subscribers.

 

It is also specified in the press release that "the acquisition price includes a fixed portion of 530 million euros payable at closing and an additional portion of between 140 and 325 million euros, subject to the achievement of economic performance criteria and payable over several years".

 

Subject to the agreement of the competent authorities, the operation should be finalised by the end of 2020.

 

 

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Source : Nextinpact