Fri, May 22, 10:18 AM
- Vodafone ADRs (NASDAQ:VOD) are up 1.7% (and shares up 4.4% in London) as Goldman Sachs reports after meeting with company management that Vodafone may sell some assets.
- With Vodafone moving up this week (ADRs +7.4% since Tuesday) on John Malone's comments that his Liberty Global (LBTYA +2.4%) and Vodafone could be a "great fit," Goldman's Tim Boddy says Vodafone "is willing to consider both acquisitions and disposals where the financial rationale makes sense" and "may be more likely a seller than a buyer of assets."
- He attributed that to Liberty's preference for tax efficiency vs. Vodafone's preference for dividends -- part of stylistic differences that Malone himself alluded to: "Their philosophy is low leverage, low risk and high cash payout to their shareholders. I prefer to grow equity value."
Tue, May 19, 6:08 PM
- Liberty Global (NASDAQ:LBTYA) rose into today's close, +2.3%, as telecom titan John Malone says a combination of his firm and Vodafone (VOD -0.9%) would be a "great fit" with "very substantial synergies if we could find a way to work together or combine the companies with respect to Western Europe."
- Malone was making his first public comments on a combination in an interview with Bloomberg, though he wouldn't comment on whether the companies were talking. A tie-up would create a telecom behemoth, between Liberty's $45B in market value and Vodafone's $93B.
- Citigroup has said a stock-based combination could generate synergies of £1.4B/year in free cash flow. But Malone is aware of philosophical differences in approach: “Their philosophy is low leverage, low risk and high cash payout to their shareholders. I prefer to grow equity value.”
- Liberty has been acquisitive in Europe and is also seeking targets in faster-growing South America, and Mexico -- a market Malone considers most attractive.
- Previously: Vodafone -3.8% following signs of life in FQ4 earnings (May. 19 2015)
Tue, Feb. 17, 7:34 PM
- Along with the release of form 13Fs comes news of purchases and sales of stakes in European mega-cableco Liberty Global (LBTYA).
- Coatue bought 1.4M shares to raise its stake in Liberty 34%, to 5.6M shares.
- Tiger Consumer sold 25% of its stake, leaving it with 1.5M shares.
- Today: LBTYA +0.7%, LBTYK +1.1%.
Fri, Feb. 13, 10:12 AM
- European cable giant Liberty Global (LBTYA) will pay €183.5M (about $209M) to a pair of companies who had raised issues with Liberty's €3B purchase of KabelBW.
- Deutsche Telekom (OTCQX:DTEGY) and NetCologne will withdraw litigation that might have led to the unwinding of the 2012 deal. German competition regulators have OK'd the arrangement after forcing another look at the purchase in 2013.
- Liberty class A shares are up 2.3% on the news on heavy volume so far.
Nov. 28, 2014, 1:07 PM
- Bloomberg reports Vodafone (VOD +2.6%) is exploring a "combination" with European cable giant Liberty Global (LBTYA +7.4%). Liberty has soared on the news.
- Liberty operates in 14 countries (12 in Europe), passes 52M homes, and claims 27M customers and trailing annual revenue of $20B. Vodafone has already acquired Spanish and German cable giants ONO and Kabel Deutschland, and has declared it wants to offer mobile/wireline bundles throughout Europe.
- Earlier: UBS upgrades Vodafone
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