In an announcement on Thursday, Vodafone Group said it had secured enought shareholder support to approve its EUR7.7 billion or USD10.2 billion takeover bid of German cable operator Kabel Deutschland.
Vodafone required at least 75% of shareholder support to secure approval of the takeover bid. It was a tense waiting period for Vodafone, as earlier in the week the British telecommunications giant only acquired around 20% of shareholder support. Moreover, hedge funds such as Paul Singer's Elliott Management built significant minority shares in Kabel.
New York Times' Dealbook said that Vodafone was poised to raise its initial offer to Kabel due to the lackluster investor backiing and the seemingly aggressive hedge fund activism. According to sources who told the Financial Times newspaper, most of the much-needed shareholder votes were counted throughout yesterday. Vodafone was able to secure its much-needed backing from shareholders in the late afternoon. Vodafone would be revealing the number of shareholder votes who favored the takeover deal on Monday.
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