Watchdog launches in-depth investigation into Virgin and O2’s £31billion merger

The merger would create a company with annual revenues in excess of £11 billion

Virgin Media

11 December 2020

An investigation into Virgin Media and O2's planned £31 billion merger is to begin immediately after the competition watchdog agreed to fast-track the review.

Merging companies are able to ask the Competition and Markets Authority (CMA) to go straight to the in-depth phase of an investigation.

In the coming weeks, the CMA's inquiry group will publish an issues statement setting out in detail the aspects it expects to investigate and inviting interested parties to comment.

The case is one of the largest ever handled by the watchdog after it successfully argued with the European Commission that it should be handled after Brexit in the UK.

Under European law, the biggest mergers are generally dealt with by the commission's regulators in Brussels.

Plans for the deal between O2's owner Telefonica and Virgin Media backer Liberty Global were first announced in May, creating a business with annual revenues of more than £11 billion.

The parties claimed it would speed the rollout of new fast broadband telecoms in the UK and crucial 5G networks.

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Watchdog launches in-depth investigation into Virgin and O2’s £31billion merger

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