Vodafone in Talks to Boost Its Stake in Japan Telecom
Vodafone Group of Britain said it is in talks to buy an additional 21.7% of Japan Telecom, a move that would give Europe’s largest mobile phone company a 66.7% stake in Japan’s No. 3 phone company.
Vodafone said it is in talks with minority shareholders, including East Japan Railway Co. Japan Telecom termed the offer from Vodafone “friendly.”
Vodafone is planning to spend about $1.9 billion buying shares in Japan Telecom, the Nihon Keizai newspaper said Sunday.
A two-thirds stake in Japan Telecom would give Vodafone rights over most business decisions, including mergers and the dismissal of directors.
Japan Telecom’s J-Phone cellular units are expected to merge Nov. 1 in a bid to compete with Japan’s top mobile company, NTT DoCoMo Inc. Japan Telecom would own 45.1% of the new company, Vodafone 39.7% and minority shareholders 15.2%.
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