Verizon’s planned bid to buy Vodafone out of their joint venture has run into a rather substantial price disagreement.
According to Verizon, Vodafone’s 45% stake in Verizon Wireless is worth $100 billion, whilst Vodafone claims that the stake is worth more than $130 billion. Vodafone’s execs claim that selling their stake could result in a $10 billion tax bill. By making the disagreement public, its likely that Verizon hopes to pressurize Vodafone’s board into accepting Verizon’s offer.
Verizon’s deal with Vodafone now stands on hold until one company relents to the demands of the other, although a compromise is more than likely because there are incentives to be had on both sides of the deal.