Telefonica agrees sale of O2 UK to 3 for GBP 10.25 billion

Nieuws Mobiel Verenigd Koninkrijk 25 MAR 2015
Telefonica agrees sale of O2 UK to 3 for GBP 10.25 billion
Hutchison Whampoa reached an agreement with Telefonica to buy O2 UK for GBP 10.25 billion. The price includes an initial payment of GBP 9.25 billion and an additional GBP 1 billion to be paid once the combined O2 and 3 UK reach a certain cash flow. Telefonica said it plans to use much of the proceeds to pay off its debt. It first announced talks on the sale of O2 in January. 

Pending approval by regulatory authorities, the companies aim to close the deal by mid-2016. The operators plan to seek competition clearance from the EU. The merger of O2 with Hutchison's 3 UK will create the UK's largest mobile operator, with almost 33 million customers.

Categories:

Mobiel

Companies:

3 UK,  Hutchison Whampoa,  O2 UK,  Telefonica

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Verenigd Koninkrijk

Tags:

M&A buyouts & divestments

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