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Vodafone (VOD -1.3%) is fine with a credit downgrade to BBB+ if that's the price it has to pay...

Vodafone (VOD -1.3%) is fine with a credit downgrade to BBB+ if that's the price it has to pay to go through with a compelling merger/acquisition, says CFO Andy Halford. That comment is being taken as a sign Vodafone doesn't feel any pressure to sell its 45% stake in Verizon Wireless (estimated value of $110B), which would do plenty to strengthen its balance sheet. Bernstein notes the amount of extra debt needed to produce a BBB+ rating would be enough to finance the purchase of German wireline carrier Kabel Deutschland, which Vodafone is reportedly eying.
Comments (1)
  • VOD doesn't get it. But the market will. Watching closely to see optimum price to potential exit VOD. While the world moves wireless, this company embraces wireline and cable in Europe.

     

    And when they enter Asia...look at the India mess. Nothing like UK management, just ask BP.
    20 Mar 2013, 07:29 PM Reply Like
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