# French billionaire buys £4.4bn stake in Vodafone to become biggest shareholder

By Dan Coatsworth — 2026-07-10

Dan Coatsworth, head of markets at AJ Bell, said: “Vodafone has been slimming down to have a sharper focus on areas with the best growth potential.

“After years of miserable performance on the stock market, the shares enjoyed a strong rally in 2025 and early 2026 as investors reassessed Vodafone’s position and applauded its strategic changes. There’s now a new development.

“French billionaire Xavier Niel has become Vodafone’s largest shareholder after buying a 16.2 per cent stake from UAE telecoms group e&.

“Niel had already been an investor in Vodafone since 2022, and his new investment is subject to regulatory clearance. If approved, the investment would represent yet another twist in the ever-changing ownership structure of UK telecoms groups.

“Another French billionaire, Patrick Drahi, built up a 24.5 per cent stake in BT but sold the entire stake to Bharti Enterprises in 2024 to help pay down his debt.

“Two years ago, the UK Government said e&’s investment in Vodafone posed a national security risk to the country. The investment wasn’t blocked, but national security safeguards were imposed.

“It’s possible the UK Government will have similar concerns with Niel’s latest purchase, given it also investigated Drahi’s investment in BT on national security grounds.

“After all, both Vodafone and BT are providers of essential services to businesses and consumers across the country.

“The market has responded favourably to Niel’s latest move, with certain investors possibly believing he might want to buy the whole of Vodafone in time. That might not be the case, but it won’t stop market speculation.”

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