Canada's Telesystem International Wireless (TIW) officially confirmed yesterday that it was in talks with the UK's Vodafone Group for the sale of the mobile telephone operators it owns in Romania and Czech Republic - MobiFon (Connex) and Oskar Mobil.
TIW owns the controlling interests in MobiFon (around 79%), while Vodafone holds 20.1%. Vodafone is world's largest mobile telephony operator in terms of revenues. If TIW decides to sell its stake in MobiFon, Vodafone will have first rights to it.
"In light of press speculation, Telesystem International Wireless Inc. confirms that it is in talks with Vodafone Group plc regarding the possible sale of its interests in MobiFon S.A. and Oskar Mobil a.s.," the Canadian company announced. "TIW believes that any offer from Vodafone will equate a value per share close to the current share price."
Nonetheless, TIW officials insist that although talks have begun "there can be no assurance that a transaction would occur". The company intends to make no further announcements unless an agreement is reached or discussions are terminated.
When contacted by Ziarul Financiar, MobiFon officials declined to comment on the TIW announcement.
The announcement confirms speculations on the market about Vodafone's plans to enter the Central and Eastern European telecommunications market. As recently as yesterday the Czech press reported the start of negotiations between TIW and Vodafone for the sale of Oskar Mobil, though officials from the two companies denied this information.
Vodafone representatives previously declined to comment on any possible entry into the regional telecommunications market, though they confirmed their interest in Central and Eastern Europe. "Vodafone regards this area as one with a high growth potential, though we don't want to make any further comment," said Ben Padovan, Vodafone's s
