Vodafone gains control of Japan Telecom

Vodafone has taken control of Japan Telecom, after seeing its offer for shares oversubscribed by its fellow shareholders.

Vodafone has spent around £1.2bn (212bn yen) on an additional 21.7 per cent of the company, Japan's third largest telco.

Vodafone has been working for nearly a year to take control of Japan Telecom through buying key stakes from AT&T, BT and Japan Telecom's founding railway companies.

Now holding around two-thirds of the firm's stock, Vodafone gains control over most business decisions, including mergers and director sackings. This allows it to better compete against its rival and Japan's market leader, NTT DoCoMo.

NTT DoCoMo has close to 60 per cent of Japan's $70bn mobile phone market.

Sir Christopher Gent, chief executive of Vodafone, said: "We are very pleased that investors in Japan Telecom welcome and support Vodafone's increased role in the company."