Link Securities | The president of Argentina, Javier Milei, has threatened to block the sale of Telefónica (TEF) in the country to Telecom, considering that it would create a monopoly formed thanks to decades of state benefits, according to Bolsamania.com.
Depending on the versions circulating about the potential acquisition of Telefónica by Telecom, of the Clarín Group, the National Communications Agency (ENACOM) and the National Commission for the Defence of Competition (CNDC) will be called upon to assess whether this operation constitutes the formation of a monopoly. This has been stated in an official communiqué from Milei’s office, which adds that this acquisition could leave approximately 70% of telecommunications services in the hands of a single economic group.
If this is the case, the National State will take all pertinent measures to avoid it, the text assures us, emphasising that the National Government is committed to avoiding the formation of a new monopoly, which with these characteristics, created in the light of decades of state benefits, would go against free competition and would undermine the disinflationary process that Argentina is going through. Thus, the country will take all measures to guarantee users’ right to choose, free competition and accessibility to telecommunications services.
