Vodafone Lines Up ￡9bn Kabel Deutschland Deal

As southern Europe struggles with telecoms growth, phone giant Vodafone makes a takeover move of Germany's biggest cable operator.

全球第二大移动网络运营商英国沃达丰公司宣布，将作价77亿欧元(约合101亿美元)现金收购德国最大有线电视运营商德国Kabel公司。这一收购显示了沃达丰实现欧洲业务增长的雄心。这是沃达丰2007年以来最大的并购案。

Mobile is extremely vulnerable; particularly you don’t have access to your own fixed lines. And this will give them a fixed line to carry about. 40pecent of the traffic will do in Germany.

So, if they get it right, they will be doing mobile phones, line-line phones, broad bands and TV.

The core group will plan. What the pleasant market found is that the German factor and the costumers are moving to other providers can be caused by as much as 60 percent if you move from one product to four products. That’s what it’s all about, mobile penetration; phone penetration is whatever one hundred percent develops the economy. It’s all about slowing that chain to preserve you revenues in cash.

Is that because consumers they, oh well, I may have the nerve or the appetite to change my phone provider. But can I really take the risk and change everything all at once?

Yeah, that’s absolutely right. That’s is precisely why mobile is so vulnerable because all of us we change our mobile phones far more often than we change our fixed lines. It doesn’t require if you want to drain the howling the warp and subtilize dish on our roof. All of these we just go to the shopper. And it just makes someone offer me an alternative package. So, photo phone without this type of deal, and similar deal is that it started in U.K. and New Zealand. It’s extremely vulnerable.

Right, so we can see what voter gets out. What about German consumers? German is rich in vibrant economy. Other consumer is ready for day lightness?

What they are it is a convenience factor. But of course, Kabel Deutsch isn’t agreeing to sell itself. Probably for the benefits of the German consumer. I mean there is a number of managements, not just very senior, but probably the top thirty. So it directed here we extremely well in sanitivized to sell its company at the right price. And it looks like a very attractive deal.

I pick my way through the press laser, not only are they well in scentivised to sell it, but under the terms of the days many will stay.

Well, that’s right.

So, they get the bonus and they keep their jobs.

Well, absolutely. The beautiful thing about the option package is that they are charged under it. It’s all depended on by how much outperform your peer group. And of course, after a pair of beat speculation which as you have mentioned liberty and above as well as photo phone, that outperformance in peer group is about as why he is goanna get. So this is the maximum number Michelle is probably goanna get. And they get them earlier they wouldn’t done. So it’s a win-win.

It’s three-lemon on the machine for them. What about the possibility of accountability. I did read that, but if you look at that share price tonight. Kabel share price is about 85 euros. That blows the offer price. So that would tell me that the market does not believe that accountability is coming.

It’s a smart move from bottle. It’s a defensive move cause they have to make it. But, they know the KPM and telephone Deutschland origin the background. They’d love to this. But they haven’t got the balanced sheet. And they know the liberty is tied up with the Verge media. And they are not really in the position to do another one to offer the old cash the older Vodafone can make available. So timing is precipitance about Vodafone. It’s a great time to get in and keep the competition in bay.