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Breakingviews: Vodafone-Kabel deal looks palatable

Monday, Jun 24, 2013 - 03:35

June 24 - Vodafone has offered €7.7bln for Kabel Deutschland. The deal looks acceptable, but only if Vodafone can make its promised €3bln savings, says Breakingviews.

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So why savings -- vodafone's ten billion dollar deal with cobbled -- time poll passable Robert Cohen Roy -- bring uses this that is joins me. Com it's a big deal a very big deal you like that. Yet partly in the about a possible. At sorry that's I decided better than it let's. The I mean if it's a lot of money. This is both say you know this has been this is a good assets and tries hard to you remember it's been -- somebody with saga. By the -- interest and it speeds is no surprise. The whole deal was given some spice. Ten days or so ago and liberty gentlemen lends. Company came in and and and bid for as well is absolutely no way you can say Leo than this is a very very -- price I think table but bush time was any floated within the last few holes. And it's and confident that the tells now but it but if you tell me that that this set prices doubled in -- double click and so this level then I wouldn't be that surprised now so. -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Well yes is -- still -- that. Which is you know hey we have I think. Can. Top on price of -- T nine euros a sad. I invited by the saying that all of that. Fifty euros and said they can get out of cost savings. I'm so if you take that at face value then. It doesn't move nearly is expensive. As as it might do now I think it would have to be put to yen pretty cynical about whether those cost savings. Really off than -- and kind of they've got to come up with a big number to -- -- to justify it kind of monetary union but I have thought I would also side. That I think that. You're old old good deals should be about more than the cost savings is very easy to get my hard headed and and corporate finance the on it inside -- If the premium is equal to go all greats of that soreness the sightings that it makes sense but. On eight as a sort of proxy invest -- common type of on this kind of thing. We're always thinking -- -- -- -- pipe for a good company and on the ice for about one side who actually Ali personally. Dynamited iPad and it's frankly I'm perhaps -- -- -- although -- field because if this deal looks. It will be until works not until three years time when these cost savings that come out. But in 45 it is time when vibrant and very very powerful position. In one of what not the Europe -- the most important markets I'd I'd -- who I'd. I visit I just comes but he has a homeless and -- exceed just as a way. Well yes I think so. I mean that the thing about liberty it had much much bigger. Competition problems anyway -- -- some issues. Because of the -- the second largest and -- in Germany anyway battles to geographical overlap and so arguments to be night so wouldn't this capital to get. But this one looks like it's an agreement both sides are decent price some of these gonna complain so I'd be pretty surprised if you have to taunt from broken up. Palatable absolutely that the collapse of -- But it. -- -- -- like very much indeed for more democratic gunfight watch our US bring me show every day 12:30 eastern sentencing that he GMC and axle problems noises.

Breakingviews: Vodafone-Kabel deal looks palatable

Monday, Jun 24, 2013 - 03:35

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