Telefonica has finalised a deal to sell its UK mobile arm O2 to Hutchinson for £10.25bn. The companies have been in talks for weeks and have reached the agreement following the completion of due diligence. The combination of networks Three and O2 will form the largest UK mobile operator ahead of EE, however the deal is still subject to regulatory approval… which could take up to a year.
Combining O2 and Three would cut the number of major mobile operators in the UK from four to three. The combined company would surpass EE, which has a 29% market share, to give it 41%. The move now leaves Vodafone trailing the pack in its home market.