Two of the UK's biggest mobile phone operators agreed Wednesday to merge their businesses to capitalise on the rollout of next-generation 5G wireless technology in the country.
The tie-up of Vodafone UK and Three, which is owned by Hong Kong's CK Hutchison, will create Britain's biggest mobile phone player, with a market value of around 15 billion pounds ($18.75 billion). Vodafone will account for 51 per cent of the merged firm, with CK Hutchison owning the rest.
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The groups said the merger will help them compete with their rivals on 5G technology. Vodafone CEO Margherita Della Valle described the deal as a “game-changer” for the company's home market.
“It's transformative as it will create a best-in-class — indeed best-in-Europe — 5G network, offering customers a superior experience," she said.
The companies said they are aiming to complete the deal by the end of 2024.