The Competition and Markets Authority (CMA) has issued provisional approval for Vodafone and Three’s planned merger, indicating that the proposed £15 billion joint venture could proceed if certain conditions to protect competition and consumers are met.
Kester Mann, director of consumer and connectivity at CCS Insight said: “Vodafone and Three can tentatively order in the champagne as their blockbuster UK joint venture appeared to take another big step forward following a positive statement from the competition watchdog this morning.”
Following months of examination, the CMA said that Vodafone and Three's proposed network expansion and customer protection commitments address the agency’s concerns about competition in the UK telecoms sector.
“Approval would mark one of the most significant developments in the history of UK mobile,” Mann added, “heralding the arrival of a new market leader with over 29 million customers.”
The CMA’s approval, however, is conditional. It centres on a comprehensive network investment and customer protection plan designed to ease competition concerns raised in September.
The watchdog’s latest Remedies Working Paper outlines its approach, which it is seeking feedback on before making a final decision by December 7.
