Liberty Global forms Benelux giant Ziggo Group for 2027 IPO following €1 billion Vodafone buyout

2026-02-18 digital

Amsterdam, Wednesday 18 February 2026
In a major restructuring of the European telecom landscape announced on 18 February 2026, Liberty Global has agreed to acquire Vodafone’s 50% stake in the VodafoneZiggo joint venture for €1 billion. This consolidation allows Liberty Global to merge its Dutch operations with Belgium’s Telenet, forming a new regional heavyweight dubbed ‘Ziggo Group’. The strategy targets a 2027 IPO on Euronext Amsterdam, effectively spinning off the combined Benelux assets. While Vodafone secures immediate liquidity, it retains a 10% stake, maintaining exposure to future growth. Perhaps most telling is the immediate market reaction: Liberty Global shares surged over 11%, signalling strong investor confidence that this consolidation will finally unlock the trapped value of these converged national champions.

Unlocking Value Through Consolidation

The transaction, confirmed on Wednesday, 18 February 2026, values VodafoneZiggo at an enterprise value of €12.43 billion [7]. While the headline figure highlights the €1 billion cash injection for Vodafone, the underlying financial mechanics reveal a highly leveraged asset; the joint venture carries a substantial net debt of €10.43 billion [7]. For Liberty Global, the acquisition of the remaining 50% stake is a calculated manoeuvre to streamline operations before returning to the public markets. By integrating VodafoneZiggo with its Belgian subsidiary Telenet—which Liberty Global delisted from the Brussels stock exchange in 2023—the US-based conglomerate aims to create a unified Benelux powerhouse [1][2]. This new entity, Ziggo Group, will be domiciled in the Netherlands, with Liberty Global intending to spin off 90% of the shares to its own shareholders while listing 100% of the group on Euronext Amsterdam in 2027 [7].

Financial Headwinds and Market Realities

The strategic logic behind forming Ziggo Group appears to be a defensive play against stagnating growth as much as an offensive move for scale. Financial results for the fiscal year 2025 paint a picture of a challenging operational environment. VodafoneZiggo reported a turnover of €4 billion, representing a decline of 2.8% compared to the previous year, while its adjusted EBITDA fell by 6.9% to €1.88 billion [6]. Telenet faced similar pressures, with revenue dipping 0.4% to €2.8 billion and adjusted EBITDA contracting by 2.3% to €1.3 billion [6]. By combining these assets, the new Ziggo Group will command a significant revenue base of 6.8 billion annually, based on 2025 figures [6]. Liberty Global Chairman Mike Vries described the merger as the creation of a ‘regional powerhouse’ operating in ‘rational markets’ [1], a sentiment echoed by VodafoneZiggo CEO Stephen van Rooyen, who noted the deal provides ‘additional stability’ [1][5].

Navigating a Sceptical IPO Market

While the 2027 listing target provides a clear horizon for investors, the path to Euronext Amsterdam is fraught with recent cautionary tales. Only earlier this month, competitor Odido was forced to cancel its planned Amsterdam IPO due to insufficient investor interest, casting a shadow over the telecom sector’s appetite for public listings [2]. Liberty Global’s strategy relies on the premise that a larger, converged Benelux entity will prove more attractive to institutional capital than standalone national operators. To ensure continuity during this transition, Vodafone has agreed to a ten-year Partner Markets agreement, allowing the new group to retain the Vodafone brand in the Netherlands [6]. Additionally, Vodafone will continue providing services to the entity for an annual fee, totalling €625 million over the decade-long contract [7]. The transaction is expected to close in the second half of 2026, subject to regulatory approvals [6][7].

Sources & Ecosystem Partners

Telecoms Consolidation Euronext IPO