Wednesday, 21 November 2018

O2 puts London IPO on ice amid concerns over Brexit

By Chris Kelly, Total Telecom
Monday 22 October 18

O2's parent company Telefonica is reportedly considering delaying its listing on the London Stock Exchange until after Brexit negotiations have been completed

The UK's second biggest mobile network operator, O2, has halted plans to list on the London Stock exchange following concerns over the country's Brexit negotiations, according to a report by the Independent…

The UK's second biggest mobile network operator, O2, has halted plans to list on the London Stock exchange following concerns over the country's Brexit negotiations, according to a report by the Independent.

O2 had been planning to raise as much as £10 billion from its London IPO later this year, following the completion of the UK's 5G spectrum auction. However, sources close to the matter report that the company is now considering postponing the offering until after Brexit has been completed.

O2's parent company, Telefonica, is yet to comment on the speculation. The London Stock Exchange is seeing a fall in the number of IPOs in the build up to Brexit, with the Independent citing "[market] volatility, uncertainty and a perceived lack of investor appetite" as key reasons for companies' reticence to proceed.

O2 has over 25 million mobile customers in the UK, with that figure rising to 32 million if you include its MVNO partnerships with Sky, Tesco Mobile and Lyca Mobile. Along with EE, Vodafone and Three, the company will be at the heart of the UK's 5G rollout programme next year. Analysts had speculated that O2 would leverage the cash from its IPO to kickstart its 5G rollout campaign.  

Also in the news: 

O2 and Three prepare for 5G by signing backhaul deal

O2 demands access to Openreach's network architecture

O2 tests LiFi network in the UK

Since you're here...

...the Telecoms industry is characterised by constant change and evolution. That's why it's crucial for telecoms professionals to keep up-to-date with what is happening. Join 35,000+ of your peers and sign up to our free newsletter service today, to be in the know about what is going on. PLUS, as a member you can submit your own press releases!

See all membership options

Please enable JavaScript to view the comments powered by Disqus.

Newsletter signup

Quickly get on board and up to date with the telecoms industry