Vodafone agrees to sell Hungary unit for 1.8 billion euros

British telecoms group Vodafone agreed Monday to sell its Hungarian division to local peer 4iG and state-owned holding company Corvinus Zrt for 1.8 billion euros ($1.8 billion).

The London-listed giant added in a statement that the proposed sale would create Hungary’s second largest fixed-line and mobile telecoms operator.

“This combination with 4iG will allow Vodafone Hungary … to play a major role in the future growth and development of the sector as a much stronger scaled and fully converged operator,” added Chief Executive Nick Read in the statement.

“The combined entity will increase competition and have greater access to investment to further the digitalisation of Hungary.”