Vodafone is in negotiations to acquire Spanish cable operator Ono, which could hinder Ono's plans for an initial public offering, reports Spanish business daily Expansion, citing unnamed sources with knowledge of the matter. The talks have intensified since Ono announced its intention to float on the stock exchange early in 2014 and a deal could be announced in the next few weeks. However, if no agreement is reached between Vodafone and Ono, the Spanish company’s owners could decide to press ahead with the IPO, said the sources.
Last week the Financial Times reported that Ono was moving forward with its plans to float on the stock exchange and had already held talks with investment banks about selling shares. The company, whose shareholders include Thomas H. Lee Partners, Providence Equity Partners, Quadrangle and CCMP Capital, could be valued at EUR 6-7 billion in an IPO, including debt. However, the company’s extensive fibre network, which covers around 7 million households, remains an attractive asset for operators such as Vodafone looking to expand into high-margin data services.
