After India’s Tata Communications failed to acquire the British based Cable and Wireless Worldwide (CWW), telecom giant Vodafone on April 23 said that it has reached an agreement for the acquisition. The British based company will be acquiring the firm for nearly £1.04 billion.
Tata Communications earlier pulled out of the acquisition race after it failed to reach to an agreement. Later it was just Vodafone who was left for the major deal and also has a major presence in the Indian market.
Vodafone has about 150 million wireless subscribers and was the only contender left for the bid. Vodafone while filing to the London Stock Exchange said, “Vodafone Europe and CWW have reached an agreement on the terms of a recommended cash offer pursuant to which Vodafone will acquire the entire issued and to be issued ordinary share capital of CWW”.
The British firm CWW has fixed lines which are used by mobile operators to provide links to the mobile transmitters and switching offices. The British based company also provides data, voice and hosting services to major British companies like Next, United Utilities and Tesco and connects more than 150 countries. The new acquisition by Vodafone will strengthen the enterprise business of the company in the UK as well as internationally.