Sky TV and Vodafone dropped their $3.44 billion merger bid and Commerce Commission appeal because of the estimated cost of at least $1 million each and an estimated one-year timeframe, Sky ceo John Fellet has told NBR’s Chris Keall.
It was a mutual decision, Fellet said. “I’d rather use that management time on something else.”
And because the drop-dead date of the original merger deal had expired, it would have to be renegotiated and resold to shareholders. “And that was not an easy topic,” he said.
That was in the context of no one being able to give him anything better than 50-50 odds of the deal ultimately being approved.
The decision was also eased by the fact Sky and Vodafone have gone ahead and negotiated a much closer marketing partnership anyway.
- This piece appears on the NBR paysite, so you may need to cough up if you want to read the full story. Take a look here
- But there’s a free trial offer – NBR doesn’t sell individual stories – to read this one you can either pay the $35 monthly fee, or sign up for the free monthly trial at www.nbr.co.nz/free
Share this Post