The Eircom EGM to vote on the deal to sell Eircell to Vodafone is not now likely to take place until the last week of April, according to a company source.
The first date pencilled in was March 23. That was pushed back to early April, and now onbusiness has learned that the end of April is likely to be the earliest that an EGM can be held.
While there are general concerns about the share price of Vodafone, which has crashed to well below the agreed floor of £2.20 sterling, at which Eircom can walk away from the Eircell deal without penalty, another issue is believed to be holding up the meeting.
Vodafone is said to be playing 'hardball', seeking leases for up to 100 sites for masts and towers which are shared by Eircell and Eircom, with all the property rights involved, while Eircom is simply offering licences to use these shared sites.
Another Eircom source was adamant that the Vodafone share price was not an issue in the delay of the egm.
The board of Eircom met last Wednesday, looked at stock price comparisons in the sector, and decided that the Vodafone deal still makes sense. No final decision can be made the share price issue until ten days before the EGM.
Meanwhile, the price of shares in Eircom hit a new low of 2.30 euros in Dublin this morning, though it later bounced back to close at 2.32 euros this evening.
