Vodafone in the growth path again; plans to shape up
24 Jul 2010
Vodafone's chief executive yesterday sought to quell a potential rebellion at its annual meeting scheduled next week by mooting the idea of selling some of the group's minority stakes in overseas mobile phone operators.
Vittorio Colao used the teleco's first-quarter update to declare that the company's minority investments were not "core" assets.
"We are not here to manage minorities," he said.
Among the first minority investments to be disposed may be Vodafone's stake in China Mobile, worth £4.2 billion. The company holds a 3.2 per cent stake in China Mobile and, according to analysts, this could be the most straightforward transaction.
But Vodafone is willing to consider selling its 44 per cent stake in SFR, France's second largest mobile operator, as also its 45 per cent of Verizon Wireless, US' leading wireless phone group.
According to Colao, the proceeds from the disposals could be returned to shareholders or used for new investments.
