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25 Apr 2013
Forex: GBP/USD buoyed by Verizon/Vodafone buzz
FXstreet.com (Barcelona) - In an report published by Reuters, Verizon is planning a bid worth around $100 billion for Verizon Wireless stake. The deal is expected to take some months until potentially resolved, thus M&A flows are not an immediate threat.
However, as the IFR Markets editor Peter Whitley notes, "the sheer size of deal could be game changer." The GBP/USD is being supported by the news, having risen over 70 pips from its consolidation box just above 1.5250.
As Reuters reports: "Verizon, which already owns 55 percent of Verizon Wireless, has not put a proposal forward to Vodafone yet but it has hired both banking and legal advisers for a possible bid, the sources said."
"Verizon hopes to start discussions with Vodafone soon for a friendly deal but is prepared to take a bid public if the British company does not engage in talks, one of the sources added" Reuters added.
However, as the IFR Markets editor Peter Whitley notes, "the sheer size of deal could be game changer." The GBP/USD is being supported by the news, having risen over 70 pips from its consolidation box just above 1.5250.
As Reuters reports: "Verizon, which already owns 55 percent of Verizon Wireless, has not put a proposal forward to Vodafone yet but it has hired both banking and legal advisers for a possible bid, the sources said."
"Verizon hopes to start discussions with Vodafone soon for a friendly deal but is prepared to take a bid public if the British company does not engage in talks, one of the sources added" Reuters added.