Menu
31/10/2005
Telefonica bids £17.7 billion for O2
Spanish telecoms company Telefonica have agreed a takeover deal with mobile phone group O2.
Telefonica has agreed to purchase O2, a former subsidiary of BT, for £17.7 billion. The Spanish firm said that it would pay 200p per share – a premium of 22% on O2’s closing share price on Friday.
The deal would give Telefonica a foothold in both the UK and Germany, two of Europe’s biggest mobile phone markets.
The Spanish firm said that O2 would retain its existing brand and would continue to be based in the UK, under the deal.
In a statement, Telefonica said: “The combination with O2 is a logical step for Telefonica in pursuing its strategic goal of providing its shareholders with both growth and cash returns.”
02 has been the subject of bidding interest for several months, with interest from T-Mobile owner Deutsche Telekom and Dutch firm KPN.
Peter Erskine, Chief Executive of O2 told BBC Radio 4’s ‘Today’ programme that the deal was “very good for shareholder value”, as well as for customers. He said that £2 per share was “somewhere in the range of a 25% premium over the last three months.”
Customers would also benefit from better roaming and better worldwide services, because there was no overlapping territory, Mr Erskine added.
(KMcA/SP)
Telefonica has agreed to purchase O2, a former subsidiary of BT, for £17.7 billion. The Spanish firm said that it would pay 200p per share – a premium of 22% on O2’s closing share price on Friday.
The deal would give Telefonica a foothold in both the UK and Germany, two of Europe’s biggest mobile phone markets.
The Spanish firm said that O2 would retain its existing brand and would continue to be based in the UK, under the deal.
In a statement, Telefonica said: “The combination with O2 is a logical step for Telefonica in pursuing its strategic goal of providing its shareholders with both growth and cash returns.”
02 has been the subject of bidding interest for several months, with interest from T-Mobile owner Deutsche Telekom and Dutch firm KPN.
Peter Erskine, Chief Executive of O2 told BBC Radio 4’s ‘Today’ programme that the deal was “very good for shareholder value”, as well as for customers. He said that £2 per share was “somewhere in the range of a 25% premium over the last three months.”
Customers would also benefit from better roaming and better worldwide services, because there was no overlapping territory, Mr Erskine added.
(KMcA/SP)
Related Northern Ireland Business News Stories
Click here for the latest headlines.
13 August 2001
New Deal programme helps with return to work
"When you feel that people aren’t even replying to your applications because of your age, it boosts your ego to be part of a company. You feel part of life again," says Jim Green, who has just completed the government’s New Deal programme and is now employed full-time by BS Tooling in Mallusk.
New Deal programme helps with return to work
"When you feel that people aren’t even replying to your applications because of your age, it boosts your ego to be part of a company. You feel part of life again," says Jim Green, who has just completed the government’s New Deal programme and is now employed full-time by BS Tooling in Mallusk.
18 January 2010
Fermanagh Kitchen Designer Up For Award
A Co Fermanagh kitchen designer has been named as a finalist in a coveted industry award. Peter Leonard, of Ballygawley-based firm Greenhill Kitchen Innovations, is up for the 2010 KBB (Kitchens, Bedrooms and Bathrooms) Industry Award. He previously scooped the honour in 2007.
Fermanagh Kitchen Designer Up For Award
A Co Fermanagh kitchen designer has been named as a finalist in a coveted industry award. Peter Leonard, of Ballygawley-based firm Greenhill Kitchen Innovations, is up for the 2010 KBB (Kitchens, Bedrooms and Bathrooms) Industry Award. He previously scooped the honour in 2007.
25 May 2005
Millennium Dome gains £6M O2 sponsorship deal
O2, the mobile phone company, has announced it will pay £6 million pounds a year to sponsor 'The O2' as the rechristened Millennium Dome will be known from now on.
Millennium Dome gains £6M O2 sponsorship deal
O2, the mobile phone company, has announced it will pay £6 million pounds a year to sponsor 'The O2' as the rechristened Millennium Dome will be known from now on.
-
Northern Ireland WeatherToday:A few fog patches at first, soon clearing to leave a dry day with some patchy cloud and good sunny spells. Light and variable winds. Feeling mild in sunny spells. Maximum temperature 14 °C.Tonight:Dry and quite chilly overnight under prolonged clear spells and light winds. This will allow a few fog patches to develop in places. Minimum temperature 2 °C.
