2 March 2012 - 8:43pm | posted by | 0 comments

Tata (Jaguar and Land Rover) is now eyeing up Cable & Wireless

Cable and Wireless next?Cable and Wireless next?

Tata, the giant Indian company which has spent £15 billion buying up British businesses in the past few years, now has its eyes on Cable and Wireless .

The Mumbai-based company said in a filing with the U.K. Takeover Panel that it was evaluating a possible cash offer for the British fibre -optic network operator. The examination is at a "very preliminary stage," Tata said .

Vodafone has already said it was in the early stages of evaluating a potential offer. At that time brokerage firm Sanford C. Bernstein said it believed an acquisition could be valued at £700 million to £900 million.

Tata's notable British purchases include the Tetley Group for $432 million in 2000, Corus Group in 2007 for $12.2 billion and Jaguar Land Rover for $2.3 billion in 2008.

If the Cable & Wireless purchase goes through, said the Wall Street Journal, it would help Tata Communications strengthen its position as a provider of undersea fibre-optic and business-communications services globally. There are likely to be benefits from economies of scale as well.

Cable & Wireless owns the U.K.'s largest fibre network servicing businesses and has an international cable network across Europe and Asia, including India. But its shares have fallen 54% over the past 12 months following three profit warnings.

Don't miss out... Get your Digital news by email

See all specialist newsletters

32 related companies from Profile Hub, The Drum's modern marketing directory:

Be the first to comment on this article: sign in or register.

Latest Projects from the Profile Hub

AVCA - The heart of African VC and PE

19/09/2014
The African Private Equity and Venture Capital Association...

BWP gets colourful with K3

18/09/2014
K3 approached BWP Group to help them design and build a...

dlc - Responsive website

17/09/2014
dlc is the UK’s leading, independent debt recovery firm,...

Ecommerce Solution for B2B and B2C Retailer

16/09/2014
Talking Tables provides high quality party decorations for...

Peak Scientific Innovation - Brand Communications for US Market

16/09/2014
Peak Scientific is a leading Scottish gas generator...