] SK Telecom
announced on July 26 that it is officially withdrawing the merger plan between its IPTV unit SK Broadband
and the nation’s No. 1 cable TV operator CJ HelloVision
The announcement comes after the Fair Trade Commission, the state antitrust regulator, disapproved the 1 trillion won deal on July 18, citing monopoly concerns that could further strengthen SK Telecom’s dominant market position in the highly competitive paid TV market.
“SK Telecom has notified CJ HelloVision that it would revoke the merger and stock swap deal through the due legal process,” the company said.
CJ HelloVision didn’t make any official announcement, complaining that SK Telecom gave the notice unilaterally without prior discussions. Some industry watchers raised speculation that the two companies could be involved in legal disputes as they ask each other to take responsibility for the failed merger.
By Kim Young-won (email@example.com