Vodafone has confirmed it is having discussions with Liberty Global about a possible exchange of selected assets.

The two companies have been heavily linked with a merger as the European telecoms space continues to go through a period of consolidation.

Vodafone is the only major operator in the UK not to have engaged in any M&A activity while BT and EE, and O2 and Three have joined forces in recent months.

The company has acquired Ono in Spain and Germany’s Kabel Deutschland in recent years.

However, Vodafone said in a statement that a potential merger is not part of the talks.

The UK-based operator did not expand on which assets were being discussed.

Vodafone and Liberty have overlapping operations in the Czech Republic, Germany, Hungary, Ireland, the Netherlands, Romania and the UK.

Earlier this week, Orange Deputy CEO Gervais Pellissier said it would “make sense” for Vodafone to do a deal with Liberty in the UK, where the company owns Virgin Media.

It also owns brands such as Ziggo, Unitymedia, Telenet and UPC.

Telenet acquired Belgian mobile operator Base from KPN for €1.3 billion in April.

Meanwhile, Vodafone saw group service revenues for the last financial year fall 1.6 percent to £38.5 billion as Europe continued to drag on results.

Although it is investing heavily to upgrade its network infrastructure, it is still cash rich after divesting its stake in Verizon Wireless early last year.

Likewise, Liberty is investing in its network. Its Project Lightning will expand its high-speed broadband infrastructure in the UK.

Liberty saw like-for-like sales increase by over three percent in the first quarter.

More News

WhatsApp unveils new app for small businesses WhatsApp unveils new app for small businesses WhatsApp has revealed details of its plans to target the enterprise market with the launch of a dedicated app. More detail
Work together to boost sponsored data, analysts urge operators Work together to boost sponsored data, analysts urge operators Operators need to work harder to promote the benefits of sponsored data, according to a new report. More detail
Vodafone talks up fixed access network slicing potential after successful trial Vodafone talks up fixed access network slicing potential after successful trial Vodafone has tested a new network slicing technology in Ireland that it claims will support new business models and potentially aid the deployment of fibre networks. More detail
Vodafone, CityFibre choose MK for FTTH debut Vodafone, CityFibre choose MK for FTTH debut Milton Keynes has been chosen as the first UK town to benefit from the fibre broadband joint venture between Vodafone and CityFibre. More detail
Iliad appoints 29-year-old to run new opco in Italy Iliad appoints 29-year-old to run new opco in Italy Iliad has sprung a surprise by appointing a novice to run its soon-to-be launched mobile subsidiary in Italy. More detail
    

@eurocomms