7/17/2013 11:11:44 AM
Vodafone Group given free run at Kabel Deutschland takeover
Vodafone Group appears to have a free run at completing its acquisition of Kabel Deutschland, after rival bidder Liberty Global admitted defeat.
It is expected the acquisition will be completed in the fourth quarter of this year and is worth Eu7.7bn. The acquisition will give Vodafone Group the potential to sell a quad-play proposition in Germany, offering mobile, television, landline and broadband. Vodafone Group has been one of the operators hit by the challenging economies of southern Europe.
Liberty Global, which snapped up Virgin Media in a $24bn deal earlier this year, was seen as a potential spoiler for Vodafone Group's bid. However, in an interview with Bloomberg last night, its founder John Malone said it was pulling out of any bid. He said: 'Unfortunately the Vodafone guys have preempted us in trying to consolidate the rest of Germany. We wish Vodafone good luck. We’re hoping they’ll be a good fellow traveler in the cable business.'
Vodafone Group is expected to give more details about its intentions for Kabel Deutschland when it announces its first quarter results on Friday (19 July).
Author: Graeme Neill