Vodafone abandons talks with Wind Hellas
Vodafone has abandoned plans to merge its operations in Greece with Wind Hellas, in a major blow to the debt-laden smallest operator and throwing into doubt consolidation elsewhere in Europe.
The third-biggest Greek telecoms operator is owned by its bondholders and needed a deal to better compete in the market that has been hit by extreme pressures on consumer spending. It could still reach a network sharing deal with Vodafone.
“Vodafone Group and Largo Limited, the sole shareholder of Wind Hellas, confirm that they have agreed to terminate discussions relating to a potential business combination between Vodafone Greece and Wind Hellas,” the group said in a brief statement.
Vodafone, which will give a trading update on Thursday, said in August that it was exploring a potential cooperation with Wind in a move that would have reduced the overall market from three players to two.
Both businesses were struggling against cell phone market leader Cosmote, a unit of former state monopoly OTE, and analysts and investors had watched the situation closely to gauge the mood of regulators in the face of such tough trading.