Melita said the economics of the telecoms industry have “significantly changed” since its failed 2017 bid to merge with Vodafone Malta – the same operator, now rebranded as Epic, that it is now seeking to purchase.

"The context in 2017 was fundamentally different,” a Melita spokesperson said in response to questions by WhosWho.mt.

“Telecoms economics have changed significantly. The roll-out of fibre is extremely capital-intensive, 5G (and standalone 5G in particular) and cybersecurity requires much more investment than previous mobile technologies.”

Melita attempted to merge with Vodafone Malta in 2017

“Providing best-in-class digital infrastructure to Maltese residents, businesses and the public sector is essential for Malta's continued economic development and competitiveness. Therefore the next generation of investment decisions must be made now.”

They added that the proposed transaction will enable Epic and Melita to accelerate fibre deployment, invest in a standalone 5G network and enhance cybersecurity resilience, supporting long term investment in Malta's digital infrastructure.

The 2017 attempt at a merger was scuppered after Melita and Vodafone Malta both said they were unable to satisfy the requirements imposed by the Maltese Competition Authority (MCCAA).

Vodafone Malta was then acquired by Monaco Telecom in 2020 and rebranded as Epic.

GO, Malta’s third telecoms provider, has voiced concerns over the latest proposed acquisition, stating it raises important questions around competition, consumer choice, pricing, investment and innovation.

It said it expects the MCCAA to carry out a rigorous, transparent, evidence-based and fully independent assessment of the transaction and its proposed impact across the relevant markets.

The Melita spokesperson was more guarded when asked whether merger synergisation could lead to the closure of some existing Melita and Epic outlets or result in staff redundancies.

With regards to the outlets, they said that “the primary objective of this transaction is to strengthen our ability to invest in our networks and services, ultimately delivering an even better experience for our customers”.

As for potential redundancies, they said that there is no announcement regarding roles or organisational changes as of yet.

“Our employees learned about the proposed transaction directly from us, and we remain committed to communicating openly and transparently with them,” they said.