Feeds

Mannesmann rejects Vodafone's £64bn bid

Offer cools relationship, hostile bid expected as a result

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

Mannesmann has strongly rejected a £64 billion takeover bid from Vodafone, delivered in person by the company's chief executive. The German giant described the bid as "wholly inadequate" and "extremely unattractive", paving the way for a hostile bid, expected shortly. Vodafone is keen to get its hands on Mannesmann, which is in the process of acquiring Orange for £20 billion. Aside from the German firm's unwanted intrusion into the UK market, Vodafone wants its German, French and Italian franchises to strengthen its own position across Europe. However, with the "unsolicited" proposal rejected out of hand, Vodafone has little choice but to go for a hostile bid – something not made easier by the stolid German market which has never seen a successful hostile takeover. Despite a number of others big companies, including BT, Bell Atlantic and SBC, reportedly offering Mannesmann a safe exit through friendly mergers, it seems determined to stay the course. Whether the ballsy approach – which has included strong words, personal pledges and an arrogant self-valuation at double current share price – pays off, only time will tell. Vodafone's chances of success are slipping – made clear by a big drop in its share price. Even if it did manage to buy Mannesmann, it would have to sell Orange, and almost certainly at a loss. With the mobile market set to explode in the next few years, if Mannesmann can keep hold of its independence the opportunity to acquire it may never happen again. ®

Website security in corporate America

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
JINGS! Microsoft Bing called Scots indyref RIGHT!
Redmond sporran metrics get one in the ten ring
Driving with an Apple Watch could land you with a £100 FINE
Bad news for tech-addicted fanbois behind the wheel
Murdoch to Europe: Inflict MORE PAIN on Google, please
'Platform for piracy' must be punished, or it'll kill us in FIVE YEARS
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Found inside ISIS terror chap's laptop: CELINE DION tunes
REPORT: Stash of terrorist material found in Syria Dell box
Sony says year's losses will be FOUR TIMES DEEPER than thought
Losses of more than $2 BILLION loom over troubled Japanese corp
Bono: Apple will sort out monetising music where the labels failed
Remastered so hard it would be difficult or impossible to master it again
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.