Vodafone Offers $1.7 Bln For C& W Worldwide

Vodafone Group PLC (UK:VOD) -0.06% VOD -0.02% on Monday said it has reached agreement to buy Cable & Wireless Worldwide PLC (UK:CW) +16.86% in an all-cash deal worth 1.04 billion pounds ($1.7 billion), or 38 pence a share.

The deal represents a 92% premium to the closing price of C&W Wireless shares on Feb. 10, the last business day before the offer period began and more than double the average closing price of those shares for the three months ended Feb. 10.

According to Market Watch, Vodafone said it “reserves the right to increase the offer if a third party announced a possible offer or offer for C&W Worldwide.” C&W Worldwide directors will unanimously recommend shareholders vote for the deal. C&W Worldwide shares closed at 31 pence on Friday.