Catenaa, Thursday, December 04, 2025-German telecom operator 1&1 has agreed to acquire Versatel for €1.3 billion, consolidating control over its fixed-line and mobile network infrastructure.

The move gives 1&1 ownership of Versatel’s fibre network, mobile backhaul, and B2B assets, enabling greater operational flexibility across its business segments.

The deal covers all of Versatel’s assets and liabilities, including a €950 million loan to parent company United Internet.

The loan remains with Versatel but is secured by a 1&1 guarantee, and the transaction involves no immediate cash outflow.

The purchase price may adjust by up to €300 million based on Versatel’s performance in 2027–2029, with any reconciliation to occur in 2030.

Versatel’s network has grown significantly since United Internet gained full control in 2014, expanding from 37,000 km across 226 cities to 67,000 km in 350 cities.

The company now connects over 27,700 sites and supports both institutional clients and other telecom operators. The acquisition positions 1&1 to better integrate its mobile and fixed-line operations, supporting its broader push as Germany’s fourth major facilities-based mobile provider.

1&1 recently migrated its 12 million customers to its Open RAN mobile network, a move expected to benefit from closer alignment with Versatel’s fibre infrastructure.

Analysts note that consolidating fixed and mobile assets strengthens 1&1’s competitive position in Germany’s growing fibre market, which has seen accelerated deployment after years of lagging behind other European nations.

The acquisition is subject to regulatory approvals, but the consolidation underscores 1&1’s strategic focus on controlling critical infrastructure to support both consumer and enterprise services in Germany.