EU probes O2 UK takeover attempt

EU antitrust regulators have launched a full investigation into Hutchison Whampoa’s £10.3bn (€14.4m) bid for British mobile operator O2, concerned that the deal may push up prices.

The European Commission has signalled a tougher line on telecoms mergers, putting it on a collision course with firms who argue they need to consolidate to invest in faster networks.

Hutchison’s planned acquisition of Telefonica’s O2 would make it Britain’s top mobile operator. It already has a UK mobile presence, via its ‘3’ subsidiary, so the deal would cut the number of network operators from four to three, a number which typically raises regulatory alarm bells.