News Column

Spain's Ono snubs Vodafone as pursues float

February 13, 2014

OLIVER SMITH



SPAIN'S second largest cable operator Ono is pushing ahead with its plan for a stock market sale, its board confirmed yesterday.


"The Board endorsed the pursuit by management of the steps required for a possible stock market listing of the company," Ono said in a statement yesterday, adding that the board: "reiterated its support for the management's current strategic focus."


The announcement quashes earlier reported bids from Vodafone and Liberty Global for the Spanish operator.


Despite Ono planning for an initial public offering (IPO), expected to value the business at around 7bn (5.7bn), City A.M. understands that rival bidders Vodafone and Liberty Global could still pursue Ono even after its IPO.


Ono's shareholders will now attend their annual meeting on 13 March to give formal approval for an IPO, meaning Vodafone is likely to get a couple of weeks to decide whether to increase its offer.


The bid by Vodafone - its second after a first offer was rejected - fits with its new strategy of spending up to 25bn to invest in its core European networks.


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Source: City A.M. (UK)


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