Cable and Wireless Vodafone bid may be in trouble
The recent £1bn bid for Cable and Wireless Worldwide (Thus & Demon) by Vodafone, is in danger of falling apart. Orbis Investment Management who own around 19% of shares in Cable and Wireless Worldwide and not backing the bid, claiming it undervalues the group.
A clear backing of 75% of shareholders is needed for the sale to Vodafone to happen, and the jittery nature of the situation is reflected by a decreasing share price.
The last provider to undergo a similar situation was Tiscali, which was sold eventually at well under its original valuation to TalkTalk.