According to the Financial Times, the two telecom giants are working with private equity partner InfraVia Capital to acquire Netomnia through their fibre joint venture Nexfibre.

That venture, co-owned by Telefónica, Liberty Global and InfraVia, already operates a growing full-fibre network across the UK.

Netomnia has built out its own fibre infrastructure to about three million premises, making it one of the UK’s largest “altnets”, alternative network builders focused on full-fibre broadband.

Adding Netomnia’s footprint to Nexfibre’s existing network and combining with parts of Virgin Media O2’s reach, could see the combined entity cover roughly eight million homes directly and access around 20 million premises when leveraging the broader VMO2 ecosystem. By comparison, Openreach’s network spans more than 30 million homes, including around 21 million full-fibre connections.

The deal advances a wave of consolidation in the UK broadband sector. Many smaller fibre providers have faced rising costs and competitive pressure, prompting industry speculation that larger groups will absorb regional players to achieve scale. Netomnia’s owners, including investment firms Advencap, DigitalBridge and Soho Square Capital have yet to comment publicly on the ongoing discussions.

CityFibre, another major alternative network backed by Goldman Sachs, had been seen as a potential bidder for Netomnia. But sources cited by the FT suggest it is unlikely to match the Nexfibre-led offer.

For Telefónica and Liberty Global, the transaction would significantly bolster their UK fibre presence at a time when both operators are investing heavily in network expansion.

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