Virgin Media has announced it will merge with US media company Liberty Global in a cash and stock deal worth over 10bn, subject to shareholder approval.
The deal comes following a substantial increase in operating income for Virgin Media, with a rise from 540m in 2011 to 688m last December.
Richard Branson has welcomed the news, commenting: "This deal is good news for the company, its customers and our people. Together, Liberty Global and Virgin Media are in a great position to shake up the industry and bring the full power of digital technology to UK consumers."
The new combined company will cover 47 million homes and serve over 25 million customers in 14 countries, its focus will be on the strongest and most strategic markets in Europe, with the scale to be at the forefront of technological change for customers.
Over the past six years, Virgin Media has transformed the digital experience of millions of customers, catalyzed a deep-rooted change in the UKs digital landscape and delivered impressive growth and returns for our shareholders. Im confident that this deal will help us to build on this legacy, explained Virgin Media CEO Neil Berkett.
Virgin Media and Liberty Global have a shared ambition, focus on operational excellence and commitment to driving shareholder value. The combined company will be able to grow faster and deliver enhanced returns by capitalizing on the exciting opportunities that the digital revolution presents, both in the UK and across Europe.
To find out more about their wide range of services, head over to the Virgin Media website.