Vodafone Group shares climbed sharply in London trading after reports confirmed that French telecommunications investor Xavier Niel has become the company's largest shareholder.

The development marks a significant shift in the British telecom giant's ownership structure, with Niel acquiring the entire 16.2% stake previously held by United Arab Emirates-based telecoms group E&.

4 billion, positions Niel as the dominant voice in Vodafone's shareholder base.

The transaction, valued at approximately £4.4 billion, positions Niel as the dominant voice in Vodafone's shareholder base.

Market participants reacted swiftly to the news, driving up the stock price as investors assessed the implications of a new, active major shareholder with a history of aggressive value creation in the telecom sector.

Niel, known for his control of Iliad and his partnership with Delphine Arnault, has long been viewed as a potential suitor for Vodafone.

His entry into the top shareholder slot is expected to bring increased scrutiny to Vodafone's strategic direction, particularly regarding its asset base and capital allocation.