Eircom says no talks with Swisscom
Thursday, 6 October 2005
Eircom has rejected a report that it is in talks with Swiss telecoms group Swisscom about a possible takeover.
Shares in Eircom had jumped by over 10% in Dublin earlier this morning after a report in the Irish Independent which said Switzerland's largest telephone company had contacted Eircom about the possibility of making a €3 billion bid for the Irish company.
An Eircom statement said it was not currently in discussions with Swisscom or any other company in relation to a possible offer.
Eircom is currently in the process of issuing new ordinary shares to fund its acquisition of mobile operator, Meteor, for over €400m.
The Irish Independent also reported that two of London's largest stockbroking firms, UBS and Cazenove, had been buying up the rights to those shares from Eircom shareholders.
Eircom shares closed 20 cent higher at €2.24 in Dublin this evening.
- Business Today: But Head of Research at Dolmen Securities Stuart Draper says Eircom is right up Swisscom's street.
- Business Today: Denying today's media reports, Eircom's CEO Philip Nolan does admit that the telecoms industry is set for a period of consolidation.
