Verizon, AT&T Consider Biggest Takeover in History

by Christopher Freeburn | April 2, 2013 9:32 am

Verizon, AT&T Consider Biggest Takeover in History

Verizon Wireless 2 300x199 Verizon, AT&T Consider Biggest Takeover in History[1]Shares of Vodafone (NASDAQ:VOD[2]) surged almost 5% in Tuesday morning trading after a report circulated that the wireless carrier could soon be the target of a takeover bid[3].

Sources told the Financial Times that U.S. wireless providers Verizon (NYSE:VZ[4]) and AT&T (NYSE:T[5]) were preparing to partner on a complex bid for the British telecommunications company. Under terms of the deal under discussion, Verizon would acquire Vodafone’s minority share in Verizon Wireless, while AT&T would buy Vodafone’s non-U.S. operations, Bloomberg noted.

A bid would be priced at around $3.95 a share, valuing Vodafone at $245 billion. Barclays (NYSE:BCS[6]) is reportedly working with the companies to develop the terms of the deal.

In January, Vodafone shares jumped on rumors that Verizon was looking to buy its stake in Verizon Wireless[7] in a deal potentially worth $115 billion.

Shares of AT&T and Verizon rose fractionally in early trading on Tuesday.

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2011/05/Verizon-Wireless-2.jpg
  2. VOD: http://studio-5.financialcontent.com/investplace/quote?Symbol=VOD
  3. could soon be the target of a takeover bid: http://www.businessweek.com/news/2013-04-02/vodafone-jumps-on-report-at-and-t-and-verizon-are-mulling-joint-bid
  4. VZ: http://studio-5.financialcontent.com/investplace/quote?Symbol=VZ
  5. T: http://studio-5.financialcontent.com/investplace/quote?Symbol=T
  6. BCS: http://studio-5.financialcontent.com/investplace/quote?Symbol=BCS
  7. was looking to buy its stake in Verizon Wireless: http://investorplace.com/2013/01/verizon-sale-rumors-send-vodafone-shares-up-in/

Source URL: http://investorplace.com/2013/04/verizon-att-consider-biggest-takeover-in-history/
Short URL: http://invstplc.com/1nwIe38