Breaking News
FONT-SIZE Plus   Neg
Share SHARE
mail  E-MAIL

Hedge Fund Elliott Buys Stake In C&W Worldwide Amid Bidding War: Report

3/26/2012 2:02 AM ET

Activist hedge fund Elliott Management has begun building a stake in Cable & Wireless Worldwide Plc (CW.L), which could influence the intensifying takeover battle between Vodafone Group plc (VOD: Quote,VOD.L) and India-based Tata Communications Ltd. (TCL: Quote) for the UK-based telecom company, Sunday Telegraph reported.

As per the report, New York-based Elliott's subsidiary Elliott Advisors owned derivatives equivalent to 0.62 percent of C&W Worldwide' shares as of Friday night.

Meanwhile, UBS, advising Vodafone, and Standard Chartered and Morgan Stanley for Tata reportedly getting ready to approach the Takeover Panel to extend the March 29 deadline to make an offer for C&W Worldwide. Under the 'put up or shut up' deadline, each must make an offer or walk away for the next six months.

The report noted that bankers on both sides are getting frustrated that the telecoms company led by chief executive Gavin Darby has not provided enough information to the would-be bidders.

It was on March 1 that Tata said it is evaluating a possible cash offer for C&W Worldwide, which has a market capitalization of about $1.3 billion. The move is said to be part of its ongoing review of potential acquisition opportunities. Vodafone also had confirmed in mid-February that it is in very early stages of evaluating the merits of a potential offer for C&W Worldwide.

C&W Worldwide specializes in providing communication networks and services, including managed voice, data and IP based services and applications to large corporates, governments, carrier customers and resellers. The company de-merged from Cable and Wireless plc in March 2010.

On the LSE, CW.L closed Friday's trading at 37.50 pence, down 0.48 pence or 1.26 percent.

Register
To receive FREE breaking news email alerts for Cable & Wireless Worldwide Plc and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Chipmaker Advanced Micro Devices Inc. said Thursday after the markets closed that its first quarter loss narrowed from last year, helped by strong revenue growth in its graphics and visual solutions business. The company's quarterly earnings per share, excluding items, also came in above analysts' expectations as did its quarterly revenue. After trending higher over the past few sessions, stocks showed a lack of direction throughout the trading day on Thursday. The major averages spent the session bouncing back and forth across the unchanged line before ending the day mixed. While the major averages closed on opposite sides of the unchanged line, they all showed only modest moves. U.S. Secretary Of State John Kerry said Thursday that he and his counterparts from Russia, Ukraine and the European Union have reached an agreement on a preliminary plan for ending the ongoing crisis in Ukraine. Kerry was speaking at the end of the Ukraine contact group's first meeting, comprising the foreign ministers of Russia, Ukraine, the EU and the U.S., in the Swiss city of Geneva.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.