The regulator has issued an invitation to comment, giving interested parties until May 8, 2026 to submit views on the transaction’s potential impact on competition in the UK.

nexfibre CEO Rajiv Datta said the company would engage constructively with the process. “We acknowledge the CMA’s initial review and will continue to engage constructively. Our proposed acquisition of Netomnia unlocks £3.5 billion of capital and creates financially-secure, scaled wholesale competition to BT Openreach.

“Acting now will strengthen the sector, and deliver greater choice, resilience and long-term investment in full-fibre infrastructure. This transaction aligns with Government ambitions to back growth and remove barriers to investment, and timely progress will help ensure these benefits are realised.”

InfraVia, Liberty Global and Telefónica echoed that sentiment in a joint statement, describing the review as a necessary step in what they called Britain’s broadband moment.

“Timely consolidation is essential to sustain investment and build a credible alternative to BT Openreach,” they said. “The nexfibre–Netomnia combination strengthens the sector, increases wholesale choice for ISPs and supports the Government’s ambition to reduce fragmentation and enable continued investment and competition.”

The deal, announced in February, would see nexfibre acquire Substantial Group, currently passing around three million premises with roughly 450,000 customers.

At completion, nexfibre’s own footprint is expected to reach 3.4 million premises and more than 500,000 customers. Factoring in Virgin Media O2’s broader network, the combined platform could eventually cover around 20 million premises, positioning the merged entity as a genuine wholesale alternative to Openreach.

As part of the transaction, nexfibre will sell Substantial Group’s retail businesses, including YouFibre and Brsk, to VMO2 for £150 million.

Not everyone, however, is convinced the deal serves the public interest. CityFibre CEO Simon Holden has been among the most vocal critics, warning of an 80% network overlap between the two parties and the risk of re-establishing what he called “an ineffective duopoly of BT and VMO2”. Ofcom has also signalled it wants the CMA to take a close look.

Analysts have noted that the overlap is most pronounced in the Northwest, which accounts for over a third of all premises where both networks compete. Whether that geographic concentration proves decisive in the CMA’s assessment remains to be seen.

The CMA has not yet opened a formal investigation. The deal is expected to close by Q3 2026, subject to regulatory clearance.

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