O2 U-turn on decision to sell Tesco Mobile following collapse of Three merger
O2 parent company Telefónica have announced that they have no plans to offload their 50 per cent share of MVNO Tesco Mobile.
CK Hutchison had planned to sell off the 50 per cent share they would have gained should the planned £10.25 billion merger have been completed successfully.
Originally O2 CEO Ronan Dunne (pictured) had announed that he would step-down should the merger be completed - however he now insists that he has no plans to abdicate his position as CEO following the EC's decision to block CK Hutchison's aqcuisition of O2.
Dunne has commented on Tesco Mobile's preformance as a MNO saying, "We’ve been thrilled at how the MVNO has been managed in the last 18 months,"
"There are no circumstances in the absence of this transaction that there will be any agreement between Tesco and ourselves."
Dunne also continued saying, "I will enter into a process of evaluating the strategic opportunities for the business. Tesco has a better understanding of the role of mobile today having gone through this process."
"So in the long term, the venture is perhaps even more enticing to them because of that, but you’d have to ask Tesco on that. But there is no basis in which there will be any change to the JV."