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Vodafone Sells China Mobile Stake for $6.6 Billion
BusinessWeek (Sep 7 2010)
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Vodafone Group Plc, the biggest mobile-phone company by sales, is selling its 3.2 percent stake in China Mobile Ltd. for about $6.6 billion (4.3 billion pounds).
About 70 percent of the proceeds will be returned to shareholders through a stock repurchase and the rest will be used to pay down debt, Newbury, England-based Vodafone said today in an e-mailed statement. Morgan Stanley, UBS AG and Goldman Sachs Group Inc. are managing the offer.
Vodafone has said it doesn’t consider its minority holdings essential to the business. The company bought its stake in China Mobile in two transactions between 2000 and 2002 for $3.25 billion. China Mobile, which is 74 percent held by state-owned China Mobile Communications, is the world’s biggest phone carrier by market value.
(Read Full Article)
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