Virgin Media O2’s owners are in advanced talks to buy UK-based broadband rival Netomnia, according to The Financial Times.

Telefónica and Liberty Global, along with private equity firm InfraVia Capital, are expected to buy the broadband network through their jointly owned fibre business, Nexfibre, in a deal worth £2bn.

Virgin Media O2 was formed in 2021 as a joint venture between Liberty Global and Telefónica through the merger of their respective Virgin Media and O2 UK businesses. O2 UK is the largest mobile network operator in the UK, while Virgin Media is the UK’s main cable provider.

Nexfibre, launched by Liberty Global in 2019, is now a jointly owned venture by Virgin Media O2 and InfraVia.

The Financial Times reported that a deal involving Nexfibre and Netomnia would provide Virgin Media O2 with access to an estimated eight million homes and 20 million premises in total.

The report went on to say that “two people familiar with the matter” believe a deal is close and would mark a step towards the wider consolidation of UK network providers.

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