Vodafone is the largest mobile telecommunications network company in the world, with equity interests in 25 countries and Partner Networks in a further 40 countries. At 31 March 2007, Vodafone had approximately 206.4 million proportionate customers worldwide.
Make of this what you will: "Deutsche Telekom sees potential offers which value its T-Mobile US unit at $35 a share as being substantially too low, a person familiar with the matter said on Thursday, countering a report from Bloomberg. Bloomberg earlier reported that Deutsche Telekom is willing to negotiate a sale of T-Mobile if an offer values the business at $35 or more, citing a source. Deutsche Telekom earlier this month rejected an offer from Iliad for T-Mobile." (Reuters)
Spain’s Telefónica has stormed ahead in the battle for Brazil’s telecoms market, convincing Vivendi to choose its €7.45bn offer for the French group’s Brazilian broadband business. Vivendi said on Thursday it would enter exclusive negotiations with Telefónica over the sale of its Brazilian unit GVT, shunning a lower offer from Telecom Italia. (Financial Times)
International Mobile News
Telefonica and Telecom Italia have both launched new bids for Vivendi's (OTCPK:VIVHY) GVT, which will be examined by the latter's supervisory board today. Telefonica (NYSE:TEF) has raised its bid to €4.66B in cash and will offer Vivendi a 12% stake in Telefonica Brasil (NYSE:VIV) - a bid valued at a total €7.45B. Telecom Italia's (NYSE:TI) offer represents a total enterprise value of €7B ($9.24B) and includes €1.7B in cash, a 16% stake in Telecom Italia and 15% of TIM Brasil.
Brazilian telecoms: Oi vey: Such a busy year for Oi, Brazil’s second-biggest phone company by market capitalisation. First it bought Portugal Telecom in May, funding that with an R$8 billion rights issue. Then on Wednesday it announced its intention to buy Telecom Italia’s two-thirds stake in TIM Brasil, a mobile operator. The deal could be tricky to finance – Oi’s net debt is already over four times its earnings before interest, tax, depreciation and amortisation. The company would need to tap investors yet again. Did the market roll its eyes? No. Oi’s shares leapt 6%, along with those of its target, TIM. That’s a small move in the context of another part of Oi’s busy 2014: a 60% share price drop year to date. But the TIM deal shows that Oi could act as a consolidator in the Brazilian mobile market. Brazil has three operators other than Oi: Vivo (owned by Telefónica), Claro (America Movil) and TIM. Excessive competition has driven down ebitda margins for everyone, but especially Oi. According to Berenberg, Oi’s ebitda margin has fallen 700 basis points, from 35%, since 2010. The merged entity would become the largest player in Brazil’s five most populous states. Yes, Oi would need to divest assets to placate the antitrust regulator CADE in those markets where the new entity would exceed 50% share. But an Oi plus TIM combination would cross this threshold in far fewer states than a Vivo or Claro combination with TIM would. So Oi looks like the right buyer.
Reuters . . .
. . reports that AT&T have reached a tentative agreement with anti-trust regulators over it's bid for DirecTV. Bail out, lol!
RE: Seeking Alpha-Cont.
First AT&T/China mobile now Softbank. Rumour control is working overtime. The thing that worries me is that this is likely to be just smoke and mirrors and ordinary investors are suckered by the big boys that capitalise on them. Where's the substance to these rumours, does AT&T and softbank have the cash to buy Vodafone. Does Vodafone want to be taken over? There are plenty of poison pill tactics that Vodafone could use to put off a prospective buyer. Granted that if someone did bid, i've no doubt that 3 quid a share is likely to be the price area, but i just don't believe it. It's just pure speculation and the press are fueling it.
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