Plans by pan-European cable company UPC to merge its German business with Primacom – the country’s third largest cable operator – were looking shaky yesterday when a Primacom shareholders’ vote to pass the deal was postponed.
The merger of the two groups would create Germany’s second largest cable company. Regulatory clearance for the merger was not passed in time for the vote, largely because Liberty Media, UPC’s ultimate parent, is about to acquire five cable franchises in Germany from Deutsche Telekom (see
Insight Analysis: Deutsche Telekom Sells Cable Franchises To Liberty Media).
Under the proposal UPC will take a 52% stake in Primacom, with the new entity subsuming its German cable assets. The vote has now been put back until 31 October 2001.
