Sectoral, Regulatory Pressures Threaten Virgin Media O2 Debt Sustainability

Octus reporters, credit and legal analysts discuss Virgin Media O2’s rapid slide into distress, its complex and unsustainable capital structure, and deleveraging options. We will look at its potential LME flexibilities. We’ll discuss how the headwinds the company faces may be amplified by the Competition and Markets Authority’s preliminary decision to block Nexfibre’s merger with altnet Netomnia, which derailed much needed consolidation in the UK’s over-supplied broadband market, leaving VMO2 in a tight spot.