It was announced earlier today that a formal investigation would be taking place on the Gov UK website.
Sarah Cardell, chief executive of the CMA said: “This deal would bring together two of the major players in the UK telecommunications market, which is critical to millions of everyday customers, businesses and the wider economy.
“The CMA will assess how this tie-up between rival networks could impact competition before deciding next steps.
“We now have 40 working days to complete this formal Phase 1 investigation, before publishing our findings and any next steps.”
The announcement was made in May 2023, in a deal worth around £15 billion. In October last year, the CMA invited views on the merger.
Vodafone/Three response
Robert Finnegan, CEO of Three UK released a statement shortly after saying that the deal will unlock “£11 billion of investment that will help the UK close the gap with leading European countries and realise its ambitions to be a front-runner in digital connectivity.
“Thanks to this transaction, 95% of the population and every school and hospital will be covered by standalone 5G by the end of the decade.
“Joining forces will also yield more immediate benefits. From day one, our customers will enjoy faster, more reliable coverage over more of the country – and without paying a penny extra.
“We are confident that this transaction will deliver significant benefits to our customers, the country and competition, and we look forward to working closely with the CMA as they review our notification.”
Ahmed Essam, CEO of Vodafone UK echoed those sentiments, releasing a statement saying: “We have formally submitted our Merger Notice to the CMA, having worked with them closely through the pre-notification process. We look forward to continuing the constructive conversations now that the formal process has begun.
“We strongly believe that the proposed merger of Vodafone and Three will significantly enhance competition by creating a combined business with more resources to invest in infrastructure to better compete with the two larger converged players.
“Our commitment to invest £11 billion will build capacity to meet the exponential growth in demand for data and accelerate the roll out of Advanced 5G across the UK, delivering benefits to consumers and businesses throughout the nation.”
