Vodafone's Utilization Rises on T-Mobile Buyout Talk

Vodafone's (VOD) share price rose 1.14% Monday on news that it is exploring a bid to buy T-Mobile U.K. in a move that would make it the U.K.'s largest mobile phone operator. Vodafone's share price over the last 3 months has fluctuated somewhat. However, it is only down 2.4% over this time. Deutsche Telekom (DT) the owner of T-Mobile U.K. stock price rose 2.42% Monday.

The potential deal, whether it be a joint venture or outright acquisition will need regulators to approve it as Vodafone will acquire another 15% of the market taking it past O2 (27%) to 40% of the U.K. mobile phone market.

Vodafone's short base has fallen 48% over the last 3 months. Utilization has increased 34% in the last week. Deutsche Telekom short base is currently (4.7%), the other U.K. mobile operators are Hutchison Whampoa (HUWHY.PK) (0.6%) who owns 3 Mobile and France Telecom's (FTE) Orange (5%).

Download the full report by clicking here.