Vodafone and Verizon Considered a Full Merger Last Year - Report
Published on: 5th Mar 2013
Note -- this news article is more than a year old.
By: Ian Mansfield
Vodafone and Verizon Communications are reported to have held talks recently that could have lead to a full merger between the two companies.
Citing people familiar with the situation, Bloomberg News said that the last talks about a merger took place in December, and only broke down over issues of headquarters location and the management structure.
The two companies are joint venture partners in Verizon Wireless, and Verizon Communications has long wanted to buy out Vodafone's 45% stake - even though such a bid would cost in the region of US$100-USD115 billion.
Verizon execs have been recently making comments in public about wanting to buy out the stake, although they were also insistent that no talks were under way at the time.
Although Vodafone repeatedly said that it is not interested in selling its stake, the talks last December apparently did get as far as the Vodafone board considering what to do with such a windfall following a disposal.
Talks on either a sale or merger are likely to restart again this year, three of the people told Bloomberg.
On the web: Bloomberg News