Vodafone Group confirmed long-running speculation that it has held acquisition talks with German cable company Kabel Deutschland, although with the caveat that “there is no certainty that any offer will ultimately be made nor as to the terms on which any such offer might me made”.
In a brief statement, Vodafone confirmed that it has “made a preliminary approach” to Kabel Deutschland.
According to previous reports, such a deal would be worth around $8 billion. It would enable Vodafone to bolster its fixed line proposition in order to better compete with bundled fixed and mobile packages from incumbent Deutsche Telekom.
Earlier this year Vodafone signed a deal that would give it access to Deutsche Telekom’s fixed line network, but it was suggested that this would not give it the same level of control of its options as the Kabel Deutschland deal.
Bloomberg reports that there has been a discrepancy between the amount Vodafone wants to pay and the amount Kabel Deustchland’s owners want to sell, but that talks could begin if Vodafone comes back with an improved offer.