French billionaire Xavier Niel gets CCI approval to acquire 16.2% stake in Vodafone

The Competition Commission of India (CCI) has approved French billionaire Xavier Niel’s proposal to acquire a 16.2% stake in Vodafone Group Plc, paving the way for his investment vehicle to become the UK-based telecom operator’s largest shareholder.

The proposed acquisition will be made through Vega SAS, a wholly owned subsidiary of Maya SAS, a French simplified joint-stock company. Niel, the founder of telecom company Iliad, is pursuing the investment through the family-controlled vehicle.

"The proposed combination envisages acquisition of 16.2 per cent of the issued share capital in Vodafone Group Plc (target) by Vega SAS (acquirer)," the Competition Commission of India (CCI) said in a release on Friday.


The regulator also confirmed the clearance in a post on X, stating: "Commission approves acquisition of 16.2 per cent of the issued share capital in Vodafone Group PLC by Vega SAS."

Vega has no business presence or operations in India. Vodafone, however, operates in the country through Vodafone Idea Ltd, providing fixed-line and mobile telecommunications services.

In July, Vega had announced a binding agreement with Emirates Telecommunications Group Co PJSC to purchase the 16.2% holding in Vodafone for about £4.4 billion (5.1 billion euros) in cash. The investment vehicle was set up specifically to hold shares in Vodafone.

The transaction will make Vega Vodafone’s largest shareholder once it is completed.

Vodafone, which operates across Europe and Africa, has undertaken a series of portfolio changes in recent years. These include the sale of its businesses in Italy and Spain, the divestment of its 50% stake in a Dutch joint venture, and its merger with Three to form the UK’s largest mobile operator.

Transactions crossing specified thresholds require clearance from the CCI, which is responsible for preventing anti-competitive practices and promoting fair competition in the market.