Vodafone in talks for UK merger with Hutchison's Three, shares rise

Merger would create new leader in British mobile market; Vodafone in talks about creating a 51%-49% joint venture; deal structured using debt, with no cash consideration

Vodafone is in talks with CK Hutchison about merging their businesses in Britain to create a market leading mobile network that could accelerate the roll-out of 5G services and expand broadband availability.
 

Vodafone said on Monday it would own 51% and Hutchison 49% under the deal being discussed, with the stakes achieved by adjusting ownership of debt rather than exchanging any cash.
 

Combining Vodafone UK and Hutchison's Three, Britain's third and fourth largest networks respectively, would create a business with about 27 million customers - more than current leaders BT's EE and Virgin Media O2.
 

"By combining our businesses, Vodafone