A proposed merger between Vodafone Hutchison Australia (VHA) and TPG Telecom moved a step closer to being finalised after two US regulators cleared the deal.

In a statement, VHA said it received clearances from the Committee on Foreign Investment in the US (CFIUS) and the Federal Communications Commission, which are required to allow the proposed change of control relating to TPG Telecom’s subsea cable between Sydney and Guam, a US territory.

VHA CEO Inaki Berroeta said merger preparations were on schedule despite the widening restrictions imposed to slow the Covid-19 (coronavirus) outbreak.

“Our teams are prioritising support for our customers through the impacts of Covid-19, but we remain focused on progressing the merger,” he said.

The operator said it is working towards meeting the remaining regulatory conditions to complete the merger in mid-2020.

In early March, the Australian Competition and Consumer Commission decided not to appeal a court decision approving the AUD15 billion ($8.9 billion) merger.

The competition body opposed the deal on the grounds it would likely substantially reduce competition in mobile services, but the Federal Court of Australia disagreed, granting its approval in February.