Various
US ABSTRACTS: MANNESMANN'S STAKE IN ORANGE COULD BE BOON FOR VODAFONE
100% match; The Wall Street Journal - US Abstracts ; 08-Feb-2000 12:00:00 am ; 104 words
The merger between Vodafone AirTouch PLC and Mannesmann AG has left Vodafone in possession of one of its main rivals, Orange PLC. Vodafone is thought to be under obligation to dispose of Orange, and although it would make a good profit on the $32.43bn Mannesmann paid to acquire the company last year, Vodafone has already announced its intention to spin the company off to Vodafone shareholders. This would create a financial benefit for shareholders, but none for Vodafone. Vodafone is now hoping the European Commission will allow them to reconsider. France Telecom has already emerged as a potential buyer. Vivendi SA and Royal KPN NV have also been mentioned.
Abstracted from: The Wall Street Journal
Copyright ¸ Financial Times Information
[ Back to top ]
DIE WELT: ESSER: "WE GAVE NOTHING AWAY" (ESSER: "WIR HABEN NICHTS VERSCHENKT")
100% match; Die Welt - Germany ; 08-Feb-2000 12:00:00 am ; 165 words
According to Klaus Esser, chairman of Mannesmann AG, the German telecommunications and engineering group, the success of the takeover operation by UK rival Vodafone Airtouch PLC may be attributed to shareholders preferring short-term gains to long-term growth. Mannesmann's failure to secure Vivendi as a partner and the adoption by Vodafone of a significant part of Mannesmann's own growth strategy were also decisive factors, he said.
Esser added that he did not feel that the option of a negotiated settlement, which would have enabled Mannesmann to remain on a 50-50 footing with Vodafone, had ever been on offer. Nor would he have accepted it if it had. Esser also rejected claims that he had made tactical errors during the defence of Mannesmann. He went on to say that, now that the takeover was official, he would co-operate fully in merging the two groups as efficiently as possible and would help to restore worker motivation quickly. Asked about his own prospects of staying on at the company, Esser said that he had offered his services to Vodafone but that the offer had been rejected.
World Reporter All Material Subject to Copyright
[ Back to top ]
DIE WELT: DEUTSCHE TELEKOM MAY HAVE OLIVETTI IN ITS SIGHTS (DEUTSCHE TELEKOM SOLL OLIVETTI-GRUPPE IM VISIER HABEN)
90% match; Die Welt - Germany ; 08-Feb-2000 12:00:00 am ; 164 words
Deutsche Telekom AG, the German telecoms operator, is well placed to take advantage of speculation surrounding Olivetti SpA and its telecoms subsidiary Telecom Italia SpA, which it bought one year ago (controlled by the Olivetti subsidiary Tecnost). Olivetti shares have been changing hands on the Milan stock exchange for several days.
To succeed, Deutsche Telekom, which offered to merge with Telecom Italia last year to help beat off the attack from Olivetti, may only have to pick up the negotiations where it left them. Olivetti head Roberto Colaninno has pointed out the market value of Telecom Italia has more than doubled since it was taken over. But this is hardly likely to put off potential buyers. According to Italian law on share transactions, however, a takeover bid would have to extend to all companies within the group. This would effectively mean that, in addition to acquiring a 100 per cent stake in Olivetti, a buyer would have to buy 27 per cent of Tecnost and 45 per cent of Telecom Italia. On the basis of current prices (Mannesmann-Vodafone) the price tag would be around 70 billion euros.
|
