TPG and Vodafone challenge $15bn merger rejection

TPG and Vodafone have filed a case with an Australian court challenging the competition regulator’s move to block their $15 billion merger.

The Australian Competition and Consumer Commission (ACCC) blocked the $15 billion merger earlier this month, citing competition concerns.

The deal was to combine Australia’s third and fourth-largest telcos to create a big player boasting TPG’s fiber network and Vodafone’s mobile system.

The rejection, accidentally uploaded on the regulator’s website earlier than expected, had knocked down shares of the telecom operators.

The parties will seek orders to quicken the proceedings, TPG said in a statement on Friday.

An ACCC spokesman declined to comment on the proceedings.

Vodafone’s business is a joint venture with Hutchison Telecommunications (Australia) Ltd, while TPG largely has an internet business with a low-cost reputation.

“We believe the merger will create an entity that can compete more aggressively in the mobile market,” a Vodafone spokesperson said in a statement to Reuters.