Britain clears $44 billion Virgin-O2 mobile merger deal

Britain’s competition regulator cleared a $44 billion merger between broadband company Virgin Media and Telefonica’s UK mobile network O2 on Thursday, after a months-long review.

Virgin owner Liberty Global and Spain’s Telefonica agreed the merger a year ago, creating a powerhouse in broadband and mobile to take on market leader BT.

“After looking closely at the deal, we are reassured that competition amongst mobile communications providers will remain strong and it is therefore unlikely that the merger would lead to higher prices or lower quality services,” Martin Coleman of the Competition and Markets Authority (CMA) said.