1&1 AG Acquires 1&1 Versatel GmbH for Strategic Expansion

1&1 AG, a major player in telecommunications, has announced the acquisition of 1&1 Versatel GmbH from United Internet AG. This strategic move involves purchasing all shares for approximately EUR 1.3 billion. The transaction also includes Versatel's network infrastructure and a significant debt of EUR 950 million to United Internet, secured by a guarantee from 1&1.

This acquisition allows 1&1 AG to strengthen its infrastructure capabilities, with Versatel specializing in fiber optic connections. Their network spans 67,000 kilometers, covering over 350 cities. Versatel's role is crucial in providing broadband services, operating 1&1 IPTV and VoIP platforms, and supporting 1&1's mobile and fixed-line business segments.

The purchase agreement allows for a potential price adjustment based on Versatel's performance in 2027-2029, highlighting the strategic nature of the deal.