Vodafone UK and Three UK have officially merged to form a new telecoms giant named VodafoneThree, with the deal completed on 31 May 2025. Vodafone will hold a controlling 51% stake in the combined business.
The merger, which was first proposed in June 2023, has now received full regulatory clearance and marks a major shift in the UK’s mobile network landscape. Vodafone Group confirmed the completion via a post on X, stating, “We are pleased to announce the successful completion of the merger of @VodafoneUK and @ThreeUK.” The post added that VodafoneThree will “deliver a vastly superior mobile experience for millions of customers and businesses up and down the country.”
In a joint statement released by Vodafone Group Plc and CK Hutchison Group Telecom Holdings Limited on 2 June 2025, it was announced that the new company intends to invest £11 billion over the next decade to enhance the UK’s digital infrastructure. Of that, £1.3 billion is set aside for capital expenditure specifically targeting expanded network deployment.
Leadership of the new entity has also been confirmed. Max Taylor, who previously headed Vodafone UK, will take on the role of Chief Executive Officer of VodafoneThree. Darren Purkis, who was CFO at Three UK, has been appointed as the new Chief Financial Officer.
Vodafone will fully consolidate VodafoneThree into its financial reporting. The companies expect that by year five, the merger will result in cost and capital expenditure savings of around £700 million annually. According to the statement, the deal is also expected to improve Vodafone’s adjusted free cash flow starting from the 2029 financial year.
The UK’s Competition and Markets Authority (CMA) gave its approval to the merger on 5 December 2024, following a detailed investigation. Sharing the news on X, the CMA posted, “We’ve cleared #Vodafone’s merger with #Three, subject to the companies agreeing to legally binding commitments, including to invest billions in rolling out a combined #5G network across the UK. This would ensure the merger boosts competition in UK mobile #telecoms.”
Commenting on the development, Vodafone Group Chief Executive Margherita Della Valle said, “The merger will create a new force in UK mobile, transform the country’s digital infrastructure and propel the UK to the forefront of European connectivity. We are now eager to kick off our network build and rapidly bring customers greater coverage and superior network quality. The transaction completes the reshaping of Vodafone in Europe, and following this period of transition we are now well-positioned for growth ahead.”
Canning Fok, Deputy Chairman of CK Hutchison and Executive Chairman of CKHGT, also welcomed the completion by stating, “As we have demonstrated in other European markets, scale enables the significant investment needed to deliver the world-beating mobile networks our customers expect, and the Vodafone and Three merger provides that scale. In addition, this transaction unlocks significant shareholder value, returning approximately £1.3 billion in net cash to the Group.”
