UK supermarket giant Tesco (LON:TSCO) reportedly plans to acquire mobile operator O2’s 50% stake in their MVNO joint venture, Tesco Mobile.
UK supermarket giant Tesco (LON:TSCO) reportedly plans to acquire mobile operator O2’s 50% stake in their MVNO joint venture, Tesco Mobile.
Tesco, which formed the JV with the Telefónica (BME:TEF) subsidiary in 2003, also wants a long-term agreement with CK Hutchison (SEHK:0001), which is awaiting regulatory approval for its proposed takeover of O2, for capacity on the merged companies’ networks, The Telegraph reported.
The plan, unveiled at a closed European Commission hearing on the O2-Three merger this week, would represent a major strategic shift for Tesco. Last year, the supermarket reportedly considered a sale of its stake in Tesco Mobile, which claims to have some four million customers.
Hutchison is likely to welcome the sale of O2’s stake in the JV as this may increase the chances of the EC approving the merger.
Tesco was not immediately able to comment.