Vodafone (LON: VOD) Extends Rally as Xavier Niel Becomes Largest Shareholder in $5.95 Billion Deal

Vodafone shares extended their rally again on Monday, July 13, 2026. The stock climbed as much as 5.6% intraday, touching a high of 116.30 pence. That builds on Friday’s 12.6% surge after Xavier Niel’s Vega vehicle agreed to buy e&’s stake. The $5.95 billion deal makes Niel Vodafone’s largest shareholder, pending regulatory approval. Vodafone opened Monday at 111.05 pence and traded as low as 110.50 pence. Trading volume reached 23.39 million shares by midday London time. Vodafone’s market capitalization now stands near £26.26 billion.

Vodafone’s Monday Trading Activity in Detail

Vodafone shares (NASDAQ: VOD) opened Monday at 111.05 pence, just above Friday’s 110.10 pence close. The stock climbed steadily through the morning session in London. By midday, Vodafone had touched an intraday high of 116.30 pence. That marked a gain of roughly 5.6% from Friday’s closing level.

Monday’s key trading figures for Vodafone:

• Vodafone opened at 111.05 pence and traded between 110.50 and 116.30 pence.
• Trading volume reached 23.39 million shares as of midday London time.
• Vodafone’s market capitalization climbed to approximately £26.26 billion.
• Shares outstanding stood at 23.03 billion, unchanged from Friday’s count.

Vodafone Outperforms the FTSE 100 Again

Vodafone extended its lead as one of the FTSE 100’s top performers Monday. Investing.com reported shares up roughly 4% during the session. Yahoo Finance UK separately confirmed a 3.8% gain to 114.306 pence. Vodafone remained the standout name across London’s blue-chip index.

The $5.95 Billion Deal Behind the Rally

Friday’s rally began after e& agreed to sell its entire 16.2% Vodafone stake. The buyer, Vega, is an investment vehicle owned by Xavier Niel’s family. The deal values e&’s 3.94 billion shares at approximately $5.95 billion. That price included 110.5 pence in cash plus a 2.02 pence dividend.

Key terms of the Vodafone stake sale:

• Vega will acquire 16.2% of Vodafone’s share capital and 17.1% of voting rights.
• The deal price of 112.5 pence represented a 14% to 15% premium.
• e& will receive its final FY26 dividend payment on July 30, 2026.
• e& originally built its stake in 2022 for approximately $4.4 billion.

Xavier Niel’s Growing Telecom Empire

Xavier Niel controls telecom assets across 26 countries through his family group. His portfolio includes Iliad, Salt, Eir, Tele2, and Millicom, among others. Those businesses serve roughly 139 million subscribers and employ 45,000 people. Niel’s telecom empire generates about €24 billion in annual revenue.

Vodafone’s Fundamentals Behind the Deal

Vodafone’s FY26 results, filed May 12, 2026, showed organic service revenue growth of 5.4%. Adjusted EBITDAaL reached $13.23 billion, supporting a 2.5% dividend increase. CEO Margherita Della Valle called Vodafone “a simpler company with a stronger growth outlook.” Three years of restructuring appear to be paying off for shareholders now.

Additional strategic developments supporting sentiment:

• Vodacom, Vodafone’s African unit, is raising its Safaricom stake to 55% total.
• Vodafone’s relationship agreement with e& has formally ended following the sale.
• e& nominee director Hatem Dowidar has resigned from Vodafone’s board immediately.
• Vega has confirmed it does not intend to bid for the entire company.

🔴 ALERTE INFO
Xavier Niel va débourser 5,1 milliards d'euros pour devenir le premier actionnaire du géant des télécoms Vodafone, l'action s'envole de 11%https://t.co/YvAHPiOMe0

— BFM Business (@bfmbusiness) July 10, 2026

What Analysts Are Saying About the Deal

Morgan Stanley kept an “equal weight” rating on Vodafone with a 105 pence target. The bank noted limited overlap between Niel’s businesses and Vodafone’s footprint. Deutsche Bank reiterated its Buy rating following Friday’s announcement. JPMorgan’s Akhil Dattani said Niel is “not known to be a passive investor.”

What comes next for Vodafone shareholders:

• Vodafone reports fiscal Q2 2026 results on July 27, 2026, before market open.
• FY27 guidance calls for Adjusted EBITDAaL of €11.9 billion to €12.2 billion.
• The stake sale still requires UK regulatory clearance before closing.
• Investors will watch for updates on Germany’s ongoing turnaround progress.

Final Thoughts

Vodafone’s Monday rally shows continued confidence in Niel’s long-term involvement. Shares climbed to 116.30 pence intraday, extending Friday’s sharp 12.6% surge. The $5.95 billion stake sale reshapes Vodafone’s shareholder base ahead of its July 27 earnings. Xavier Niel’s track record across European telecom markets adds real strategic weight here. Vodafone’s next moves will depend heavily on regulatory clearance and Germany’s turnaround progress.

Disclaimer:

The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.