LONDON (ShareCast) - (Sharecast News) - The Competition and Markets Authority will carry out a full investigation of the merger between Virgin Media and O2 after the European commission referred the deal to the UK.
Virgin Media, owned by Liberty Global, and Telefonica, O2's parent, announced the 50-50 joint venture in May to compete with BT and Sky on bundled products of TV, mobile and broadband.

The CMA asked the commission to refer the decision on the deal to the UK on 8 October, arguing that it would have a potentially large impact on several telecoms markets in the UK. The commission accepted the request on Thursday and the case has been transferred for the CMA to start its inquiry immediately, the CMA said.

Virgin and O2, Britain's biggest mobile operator, have asked the CMA to move quickly and the regulator said it intended to bypass phase 1 of its process and move to a full phase 2 investigation unless it received valid objections.

Andrea Coscelli, the CMA's chief executive, said: "We welcome the European commission's decision to transfer the proposed deal between Virgin and O2 to the CMA for investigation. These are incredibly important UK markets, that continue to evolve, and the deal needs to be carefully reviewed to make sure that consumers are protected."

The CMA invited views by 26 November on its proposed fast-track process and the deal's implications for competition.

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