Vodafone's proposed merger with CK Hutchison's Three in the UK does not pose any competition concerns to the EU antitrust regulators.
As reported by Reuters last week, the European Commission has no qualms with the merger going ahead.
The UK’s next big telco merger - Vodafone and Three?
Will four become three in the UK? Advanced talks between Vodafone and Three have got the industry talking about a potential merger and its chances of success.
Vodafone and Three reportedly sought approval from the EU on October 30. The Commission has set a deadline of December 6 for its decision on the merger.
The deal is likely to face scrutiny in the UK from the Competition and Markets Authority (CMA), as a merger would consolidate the market from four network operators to three.
Last month, the CMA called on interested third parties to comment on the impact that the proposed merger will have on the industry.
In a statement, the regulator said it wanted to gauge early comments, ahead of a formal investigation into the merger.
The two companies agreed to a £15 billion ($18.5bn) merger in June to create the UK's biggest mobile operator, with 27 million combined subscribers.
First announced last October, the merger will give Vodafone a 51 percent majority stake in the combined entity, currently labeled as "MergeCo," with CK Hutchison's Three holding the remaining 49 percent.
Vodafone said it expects the deal to close by the end of 2024.
No cash is expected to change hands. The deal will be completed through a debt adjustment, with Three transferring £1.7bn to the new company.
Back in 2016, the EU blocked a proposed merger between Three and Telefónica's O2, noting at the time that it could pave the way for consolidation across European markets.
A few years later, the European Court would annul the initial decision from the EU. O2 has since merged with Virgin Media in the UK.
