Popular business news and technology research blog DigitalOlympus.com has commented on a recent news report by Soyoung Kim and Kate Holton published on September 01 on reuters.com regarding the move of Verizon Communications and Vodafone to announce a $130 billion deal that will give the United States telecom heavyweight total control of Verizon wireless.
According to the reuters.com report, Vodafone revealed late on Sunday that it was in advanced discussions with Verizon to sell its 45 percent stake in the joint venture for $130 billion, which constitute cash and common shares, though there was no assurance that the deal will be finalized.
In a statement following the report, DigitalOlympus.com principal researcher Josh Cole stated that if the deal goes through, Vodafone will have a larger subscriber base of mobile phone system users as well as those who use their devices as business phones as such reinforcing its profit generation prowess.
Kim and Holton report further states that “Under the terms of the proposed agreement, Vodafone would get $60 billion in cash, $60 billion in Verizon stock, and an additional $10 billion from smaller transactions that will take the total deal value to $130 billion, two of the people familiar with the matter said on Saturday. To fund the cash portion of the deal, Verizon has lined up as much as $65 billion in financing from four banks: JPMorgan Chase & Co, Morgan Stanley, Barclays Plc. and Bank of America Merrill Lynch, they said.”
In response to the report, DigitalOlympus.com spokesperson stated that the deal which is anticipated to eventually go through will also benefit subscribers as both firms power the use of VoIP phones which will be further strengthened within a network.
DigitalOlympus.com is a leading news and technology research blog, committed to supplying incisive recommendations, and advising the embrace of effective and standard telecom equipment such as Panasonic Phone system devices, as well as business policies that can enable businesses to boost their efficiency and live up to the expectations of their sector.
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