7/4/2016 12:09:22 PM
O2 to sell shares through Priority, says reports
O2 is exploring the possibility of selling shares to customers through its O2 priority rewards app, the Daily Telegraph has reported.
The paper suggests that the move is part of a strategy to generate funds from within the business following the collapsed bid by Three’s owners Hutchison Whampoa to buy the Telefonica-owned firm.
Last week Telefonica issued a statement to the Spanish stock market which indicated the business was no longer for sale.
The Madrid-based telecoms giant has significant Group debt and has been exploring different ways in which it can make its relatively profitable British arm alleviate the financial burden.
Getting the Priority’s right
The O2 Priority rewards scheme has been very popular amongst O2 customers since it launched in 2011.
It remains a central part of the way in which the brand markets itself. The new campaign for the brand known as ‘More for You’ puts the Priority scheme at its heart.
Whether this makes it the right route to explore the sale of shares remains to be seen. If the reports are correct it demonstrates the breadth of options O2 are considering for generating funds.