Some of Vodafone’s most significant shareholders, each with stakes worth billions of pounds, are putting pressure on the mobile giant to enter into a massive £120 billion merger deal with Liberty Global, the world spanning cable operator behind Virgin Media in the United Kingdom.
Such a deal, which could require Vodafone to sell off their non-European businesses (e.g. India, Turkey and South Africa) for around £30bn and then merge their EU business with Liberty Global, would give the mobile giant access to a massive fixed line network and enable it to better compete with major telecoms operators like BT.
The speculation follows comments made by US billionaire John Malone, who last week signalled that he might be interested in a merger with Vodafone’s EU businesses and even suggested they would be a “great fit“.
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But such a deal would take a long time to fully complete and might face some complex regulatory hurdles in different markets.
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