News by Andrew Kameka on Wednesday April 03, 2013.
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Despite rumors suggesting that Verizon and AT&T might partner to jointly purchase international operator Vodafone, Verizon Communications has issued a statement saying that it has no plans to takeover Vodafone on its own or with anyone else.
A Financial Times report yesterday claimed that AT&T and Verizon might jointly bid $245 billion to acquire Vodafone. The UK outlet claimed "usually reliable people" told it that Verizon would purchase the 45 percent share of Verizon Wireless currently owned by Vodafone, and AT&T would buy Vodafone non-U.S. assets. Verizon shot down that suggestion with the following statement:
"Verizon Communications Inc. notes the recent press speculation regarding a potential merger with or purchase by Verizon of Vodafone. As Verizon has said many times, it would be a willing purchaser of the 45% stake that Vodafone holds in Verizon Wireless. It does not, however, currently have any intention to merge with or make an offer for Vodafone, whether alone or in conjunction with others"
Bloomberg reported last month that Verizon, which jointly owns Verizon Wireless with Vodafone, wants to break from its wireless partnership because Vodafone gets an uneven cash benefit from the deal. As recently as last month, Verizon considered either buying out Vodafone's 45 percent stake in Verizon Wireless or having a full merger of the two companies. A formal bid has not taken place, and Verizon has publicly stated that it has no plans make one. The company actually cannot place a bid for another six months because the public denial triggers UK market rules that require Verizon to wait before issuing a bid. An exception can be made if another company makes a bid for Vodafone or if its board recommends an offer.source: MarketWatch
Andrew is based in Miami, Florida.