All substances of market were set to know about accessibility of bidding process for Cable & Wireless Worldwide, but recently Tata Communication, the internet data services division of the $83bn conglomerate has announced its inability to go with agreement causing of an offer price.
Confirming its decision to exit from bidding process for Cable & Wireless Worldwide, India’s Tata Com said in its statement, “TCL today confirms that it has been unable to reach agreement with C&WW on an offer price and therefore confirms that it does not intend to make an offer for C&WW.”
The plan to bid was made in March , but on Wednesday its decision to pulled the deal has left the Vodafone and deicide whether it go forward with deadline over bid or not.
Vodafone has great potential and ability to make use of C&WW’s historic unrecognised tax assets on its own tax bill due to having wider operational field with more money to pay as more as high price, a source said.
However, both, C&WW and Vodafone never told about any type of existence of deal between them, although C&WW that was downed from the consumer side of Cable & Wireless in 2010, is under pressure to recover its losses.
Therefore, it wants to open process to Vodafone given a desire among some shareholders for an exit from the company at a price that offsets some of their losses.
Meanwhile still no agreement has been signed by Vodafone as seeking a recommendation for a bid from the board.
If Tata agreed on this, it would surely grow its relationships with large scale foreign groups as a biggest opportunity to stand with them, enhancing its internet data line in Britain, mainland Europe and North America, said by people familiar with the company.
