US cable TV giant Liberty Global has acquired Virgin Media for 10.2 billion ($16 billion).
The American based cable operator will continue with using the Virgin Media brand. The sale is subject to regulators and shareholders of both companies. The deal could be finalised within the next three months.
Mike Fries, Liberty Global’s president and CEO, said, “Adding Virgin Media to our large and growing European operations is a natural extension of the value creation strategy we’ve been successfully using for over seven years.
“Virgin Media will add significant scale and a first-class management team in Europe’s largest and most dynamic media and communications market. After the deal, roughly 80% of Liberty Global’s revenue will come from just five attractive and strong countries – the UK, Germany, Belgium, Switzerland and the Netherlands.”
Virgin Media’s CEO Neil Berkett added, “Over the past six years, Virgin Media has transformed the digital experience of millions of customers, catalyzed a deep-rooted change in the UK’s digital landscape and delivered impressive growth and returns for our shareholders. I’m confident that this deal will help us to build on this legacy.”