LONDON-Sweden’s Telia is now in discussions with TeleDanmark (TDC) about a potential takeover of the Danish carrier, following a breakdown in talks between TDC and Norway’s Telenor last week.
SBC Communications Inc. holds a 41.6-percent stake in TDC, which the company is reported to be looking to sell as part of the strategy and plans to focus on the U.S. market.
The four Nordic carriers-Telia, TDC, Telenor and Finland’s Sonera-have been discussing merger and takeover options for some time to create a force to help them better compete against Europe’s larger mobile carriers and to provide them with pan-Nordic footprints.
A landmark merger between Telia and Telenor collapsed in 1999 amid cultural and management differences.
Telia needs businesses in Denmark and Finland to complete its Nordic portfolio. TDC has a market value of about $8 billion, according to international press reports.
The Telenor and TDC talks apparently broke down because of rumors the Norwegian government’s 77.7-percent stake in Telenor was too high.
In addition, Norweigan-based Telenor would have had to sell its stake in Danish mobile operator Sonofon for regulatory reasons.
