More Vodafone Bid Rumours

The UK's Observer newspaper reported at the weekend that Vodafone is preparing a US$30 billion spoiler bid for the USA's AT&T Wireless. The US carrier is currently said to be subject to a takeover offer from the local rival, Cingular Wireless.

The paper reported that the Chief Executive Officer, Arun Sarin has asked his financial advisers to prepare documentation that will be used to persuade shareholders that the acquisition of AT&T Wrieless makes commercial and strategic sense

AT&T Wireless plans to set a Feb. 13 deadline for offers, according to a regulatory filing.

Banking sources told Reuters last week that Vodafone had been sounding out the loan market about financing for possible acquisitions. Although Vodafone is regularly in contact with bankers about existing and possible new credit facilities, sources told Reuters that the discussions were more focused than usual."

Posted to the site on 2nd February 2004