The European Commission has sent a formal Statement of Objections to US investment firm KKR, saying it preliminarily believes the company provided incorrect and or misleading information during a 2024 merger review of its acquisition of Telecom Italia’s fixed-line network business, NetCo.
KKR notified the Commission on 19 April 2024 that it planned to acquire sole control of NetCo, which includes Telecom Italia’s primary fixed-line network and its stake in FiberCop, the Commission informed on Monday.
FiberCop was previously a joint venture between Telecom Italia and KKR that covered the “secondary” part of the fixed-line network — the section connecting street cabinets to customers’ premises.
The Commission said it assessed the deal’s impact on wholesale broadband access in Italy, which allows telecom operators to use FiberCop’s fibre network to provide internet services to their customers.
The prices and conditions of that access can affect competition between internet providers and what customers pay.
During the 2024 review, the Commission said it raised “serious doubts” after third-party operators warned that FiberCop could restrict access to passive services, meaning the underlying infrastructure such as ducts or fibre.
It noted that KKR told the Commission that existing long-term wholesale access agreements would remain in force and that their terms could not be changed unilaterally by FiberCop.
The deal was cleared unconditionally on 30 May 2024, with the Commission saying its decision relied on KKR’s submissions about the continued validity and enforceability of those agreements.
Complaints prompted a new EU probe in 2025
A formal investigation was opened on 24 July 2025 after complaints from third-party operators, who alleged FiberCop unilaterally increased the prices they paid under the existing long-term agreements after the transaction, the Commission said.
In its Statement of Objections, the Commission said it preliminarily considers that KKR, at least negligently, submitted incorrect and or misleading information about the terms of those long-term wholesale access agreements, including whether the existing terms would continue to apply unless changed by mutual agreement with third-party operators.
“Effective merger control depends on companies providing the Commission with correct information,” Executive Vice-President Teresa Ribera said, adding that the Commission’s evidence suggests KKR may have raised prices for existing wholesale broadband customers after the merger, in some cases significantly.
The Commission said the Statement of Objections does not prejudge the final outcome, and KKR can review the Commission’s file, reply in writing and request an oral hearing.
Under the EU Merger Regulation, the Commission can fine companies up to 1% of their aggregate annual worldwide turnover for intentionally or negligently supplying incorrect or misleading information, and it may also revoke a merger clearance decision if it was based on incorrect information for which one of the merging parties is responsible.
