UK Regulator Requests Transfer of Virgin Media-O2 Deal Review From European Commission -- Update

By Adria Calatayud

The U.K.'s Competition and Markets Authority said Thursday that it has requested the European Union's antitrust authority to transfer to the CMA a review of the merger between the British units of Liberty Global PLC and Telefonica SA.

The U.K. regulator said the review of the combination between Liberty Global's Virgin Media and Telefonica's O2 should be transferred given its potential impact on competition in several retail and wholesale telecommunication markets in the U.K.

The European Commission--the EU's antitrust authority--on Sept. 30 received notification of the proposed deal and is currently inviting comments from interested third parties.

"Ultimately, this is a decision for the EC, but as the merger will only impact UK consumers--and any effects would only be felt after the end of the transition period--it is only right for the CMA to request it back," CMA Chief Executive Andrea Coscelli said.

The CMA said the initial deadline for the European Commission to respond to its request is Nov. 19.

"We can confirm that the Commission has received a referral request from the U.K.'s Competition Authority on the assessment of the Liberty Global/Telefonica transaction and we are assessing it," a Commission spokeswoman said.

John Malone's Liberty Global and Spain's Telefonica agreed to combine their U.K. businesses in May, creating a telecom giant worth nearly $39 billion.

Write to Adria Calatayud at adria.calatayud@dowjones.com

(END) Dow Jones Newswires

October 08, 2020 07:02 ET (11:02 GMT)

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