Overview

• The £16.5bn merger between Vodafone and Three, completed on May 31, has created Britain’s largest mobile operator with 27 million subscribers
• VodafoneThree has committed £1.3bn to capital expenditure in its inaugural year as part of an £11bn network upgrade programme
• Network integration is underway and is expected to generate around £700m in annual synergies through cost savings
• The group faces pressure from Germany’s new unbundling legislation and continues to trade near a 30-year low share price, prompting investor caution
• VodafoneThree aims to attract mobile virtual network operators such as Sky and Tesco by offering expanded capacity and enhanced coverage