Feeds

Vodafone denies vapour Verizon bid

Talking telephone numbers

Boost IT visibility and business value

Vodafone has denied rumours that it is considering a leveraged buyout of US giant Verizon.

According to sources quoted on a Financial Times blog today, Vodafone is considering a $160bn bid for the US giant. Vodafone already owns a 45 per cent stake in Verizon Wireless, the group's mobile network, and the larger of its two business units.

The move remains vapourware until more solid evidence emerges: the Financial Times blog notes: "Vodafone has not yet approached Verizon", and merely that "...the audacious plan has been discussed in recent weeks".

In response, Vodafone categorically denied it had any plans to acquire a controlling stake in Verizon.

The deal would create the world's largest telco, and involve loading Vodafone with a potentially crippling $90bn of debt. Verizon has some expensive gambles of its own: the company pumped $18bn into a high-speed fiber infrastructure intended to give it a viable competitor to cable.

Verizon's share price had risen by over 10 per cent before Vodafone denied the blog entry - so someone had a happy Monday.

A more likely scenario, ahead of the company's 24 July AGM, sees Vodafone cashing in on its 45 per cent share in Verizon. A group of investors led by Glenn Cooper and former Marconi boss John Mayo, calling itself Efficient Capital Structures, has succeeded in tabling a sell-off resolution for the AGM.

Vodafone attempted to buy AT&T Wireless in 2004, only to see itself outbid by Cingular. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
So, Apple won't sell cheap kit? Prepare the iOS garden wall WRECKING BALL
It can throw the low cost race if it looks to the cloud
Time Warner Cable customers SQUEAL as US network goes offline
A rude awakening: North Americans greeted with outage drama
Shoot-em-up: Sony Online Entertainment hit by 'large scale DDoS attack'
Games disrupted as firm struggles to control network
BT customers face broadband and landline price hikes
Poor punters won't be affected, telecoms giant claims
Netflix swallows yet another bitter pill, inks peering deal with TWC
Net neutrality crusader once again pays up for priority access
EE plonks 4G in UK Prime Minister's backyard
OK, his constituency. Brace yourself for EXTRA #selfies
prev story

Whitepapers

Top 10 endpoint backup mistakes
Avoid the ten endpoint backup mistakes to ensure that your critical corporate data is protected and end user productivity is improved.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up distributed data
Eliminating the redundant use of bandwidth and storage capacity and application consolidation in the modern data center.
The essential guide to IT transformation
ServiceNow discusses three IT transformations that can help CIOs automate IT services to transform IT and the enterprise
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.