Vodafone today unveiled a new partnership with the Tele2 that will centralise services across Sweden, Latvia and Lithuania.
Stockholm-listed Tele2 is a major player on the continent, operating across nine counties with over 14m customers.
The partnership commenced on 1 January and Vodafone partner markets chief exec Diego Massidda said the partnership would give "customers in Sweden, Latvia and Lithuania access to the expertise and experience of Vodafone's global enterprise products and services".
Vodafone's return to the Swedish market followed its sale of operations to Telenor in 2005.
Allison Kirkby, the chief exec of Tele2 said: "The partnership with Vodafone makes it possible to successfully cooperate with multinational customers."
In November, Vodafone announced it was selling its Dutch broadband business to T-Mobile, in a deal believed to be an attempt to sweeten-up European competition authorities so they give the green light for Vodafone Netherlands' tie-up with US cable giant Liberty Global.
However, overseas expansion elsewhere has been a challenge. Its ailing Indian arm has been the subject of several reports of merger activity.
In August, India's second largest domestic mobile phone operator, Cellular, denied it was planning a merger with the Indian arm of the UK telecoms giant.
Meanwhile, earlier this month, newcomer Jio – owned by one of India's richest men Mukesh Ambani – was also reported to be talking to Vodafone after it shelved plans to list its business in India, according to reports in the Daily Telegraph.