Report: Vodafone, CK Hutchison near £15 Billion UK mobile tieup

Vodafone has verified that it is engaged in discussions with CK Hutchison, the proprietor of Three, a competing telecommunications company, regarding a potential merger of their UK operations.

If successful, this merger would result in the largest mobile operator in the country.

As reported by sources in a statement on Monday, Vodafone said it would own 51 per cent of the combined business and Hong Kong conglomerate CK Hutchison 49 per cent. 

Vodafone UK and Three UK are at present the third and fourth largest mobile operators in Britain.

The telecoms industry in Europe has been highly competitive over the past decade, and the regulation has favored consumers, which has not been conducive to the growth of telecoms groups.

Vodafone's share price has declined by over 11% since the beginning of this year and by over 50% in the past five years.