Verizon Communications has denied it wants to buy or merge with Vodafone following press reports indicating that the US-based company could make a joint move for the UK operator with its arch rival AT&T.

In a statement, Verizon said it has no plans for a bid, but confirmed it remains interested in buying Vodafone's 45 percent stake in Verizon Wireless.

"Verizon Communications Inc notes the recent press speculation regarding a potential merger with or purchase by Verizon of Vodafone," the company said.

"As Verizon has said many times, it would be a willing purchaser of the 45 percent 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."

On Tuesday, Vodafone shares jumped to a ten-year high on the back of reports that Verizon and fellow US firm AT&T were readying a joint bid.

However, Vodafone shares fell 3.4 percent following Verizon's statement that it has no plans to make an offer.

Verizon owns 55 percent of Verizon Wireless and has been open about its intention to buy out Vodafone for years.

For some months there has been speculation about a Verizon Wireless deal between the two firms, with Vodafone chief executive Vittorio Colao saying he had an "open mind" about the US carrier.

However, it is rumoured that proposals for a deal stalled because such a move could leave Vodafone with a large tax bill should it sell some or all of its stake, given that Verizon Wireless' value is now significantly higher than when it was formed in 2000.

In November last year, Vodafone unveiled a new strategic approach after it made a €2.4 billion loss. The operator's poor financial performance came despite the billion dollar windfalls received from its stake in Verizon.

Last month, Verizon replaced Vodafone as the most valuable telco brand in the world, according to the annual ranking by consultancy brand finance.

More News

Ericsson “defends the industry” as it sues Apple again over patents Ericsson “defends the industry” as it sues Apple again over patents Ericsson has filed nine new patent complaints against Apple as a stand-off between the two companies intensifies. More detail
Belgacom CEO anticipates “tipping point” this year as it eyes return to growth Belgacom CEO anticipates “tipping point” this year as it eyes return to growth Belgacom’s CEO has said that this year will be a “tipping point” for the operator as it bids to return to revenue and EBITDA growth. More detail
eircom more than doubles 4G customer numbers, but revenues still slide eircom more than doubles 4G customer numbers, but revenues still slide Irish operator eircom said it had more than doubled the number of people taking 4G LTE as it unveiled its fourth quarter financial statement. More detail
Three reports revenue rise, remains on the lookout for M&A as O2 talks continue Three reports revenue rise, remains on the lookout for M&A as O2 talks continue Three reported an impressive set of 2014 financial results but did not offer any update on its acquisition of O2 in the UK. More detail
Bouygues Telecom aims for turnaround as it makes 2014 loss Bouygues Telecom aims for turnaround as it makes 2014 loss Struggling French operator Bouygues Telecom said it was eyeing a return to profitability in 2015, after continued pressure in the country’s mobile marketplace led to a fall in revenues and a loss last... More detail
    

This website uses cookies to improve your experience. Using our website, you agree to our use of cookies

Learn more

I understand

About cookies

This website uses cookies. By using this website and agreeing to this policy, you consent to SJP Business Media's use of cookies in accordance with the terms of this policy.

Cookies are files sent by web servers to web browsers, and stored by the web browsers.

The information is then sent back to the server each time the browser requests a page from the server. This enables a web server to identify and track web browsers.

There are two main kinds of cookies: session cookies and persistent cookies. Session cookies are deleted from your computer when you close your browser, whereas persistent cookies remain stored on your computer until deleted, or until they reach their expiry date.

Refusing cookies

Most browsers allow you to refuse to accept cookies.

In Internet Explorer, you can refuse all cookies by clicking “Tools”, “Internet Options”, “Privacy”, and selecting “Block all cookies” using the sliding selector.

In Firefox, you can adjust your cookies settings by clicking “Tools”, “Options” and “Privacy”.

Blocking cookies will have a negative impact upon the usability of some websites.

Credit

This document was created using a Contractology template available at http://www.freenetlaw.com.