Liberty Global Pays €1 Billion for Full Control of Dutch Telecom Giant Ahead of Amsterdam Listing

2026-02-18 data

Amsterdam, Wednesday, 18 February 2026.
Liberty Global’s acquisition of Vodafone’s 50% stake in VodafoneZiggo for €1 billion cash represents one of the Netherlands’ largest telecom deals in recent years. The transaction creates a regional powerhouse by combining Dutch and Belgian operations under the new Ziggo Group, with Vodafone retaining just 10% ownership. Most significantly, Liberty Global plans to spin off 90% of the enlarged company to shareholders through an Amsterdam Stock Exchange listing in 2027, potentially creating substantial value for investors while reshaping the competitive landscape for Dutch consumers.

Strategic Consolidation Creates Benelux Telecom Giant

The transaction, announced on February 17, 2026, values VodafoneZiggo at €12.43 billion based on 7.1 times its 2025 adjusted EBITDA of €1.75 billion [1][2]. Liberty Global will consolidate its Benelux assets by combining VodafoneZiggo with Belgium’s Telenet under the new Ziggo Group structure [3]. This strategic move creates what Liberty Global Chairman Mike Fries describes as “a regional powerhouse comprised of two converged national champions operating in rational markets” [1]. The deal provides Vodafone with immediate liquidity of €1 billion while maintaining exposure to future growth through its 10% stake in the enlarged entity [2][4].

Financial Performance Drives Attractive Valuation

VodafoneZiggo’s strong financial metrics underpinned the premium valuation, with the company generating €1.75 billion in adjusted EBITDA for the 12-month period ending December 31, 2025 [2][5]. The operator reported adjusted operating free cash flow of €880 million during the same period, representing 14.2 times the enterprise value multiple [2][5]. Despite facing challenges in 2025, including the loss of over 40,000 customers in the first quarter and subsequent job cuts of 400 positions [1], VodafoneZiggo demonstrated resilience with fourth-quarter 2025 revenue reaching €1.02 billion [4]. The company serves approximately 5.6 million mobile customers and three million internet subscribers across the Netherlands [1].

Amsterdam IPO Timeline and Market Impact

Liberty Global intends to complete the acquisition in the second half of 2026, pending regulatory approvals, before proceeding with its Amsterdam listing strategy [2][3][6]. The company plans to spin off its entire 90% stake in Ziggo Group to Liberty Global shareholders and list 100% of the entity on Euronext Amsterdam in 2027 [2][3][7]. This timeline provides Vodafone with an exit option should the IPO not materialize within 18 months of completion [2]. The listing represents a significant development for the Dutch capital markets and could attract substantial investor interest given the combined scale of operations across the Benelux region [3].

Long-term Value Creation and Consumer Benefits

The restructuring positions Ziggo Group to achieve ambitious financial targets, including approximately €500 million in combined adjusted free cash flow by 2028 and deleveraging to approximately 4.5 times debt-to-EBITDA by the same year [3]. Vodafone will continue its relationship with the Dutch operation through a €625 million, 10-year services agreement covering brand licensing and other support functions [2][5]. VodafoneZiggo CEO Stephen van Rooyen emphasized that the transaction “provides additional stability and long-term commitment to VodafoneZiggo” while enabling accelerated investment in networks and customer propositions [1][4]. For consumers, the enhanced scale is expected to drive continued innovation and competitive offerings in both the Netherlands and Belgium markets [3].

Bronnen

telecommunications merger Amsterdam IPO