GENEVA-Five rivals made the shortlist in the bid for control of the United Kingdom’s fourth-ranked mobile operator, One-2-One, which was put up for sale by owners Cable & Wireless and MediaOne in March following MediaOne’s acquisition by AT&T in a deal worth US$62.5 billion.
While still the United Kingdom’s smallest cellular operator with 2.3 million customers and a 15-percent market share, One-2-One has also proved itself as one of the most innovative, particularly in the area of pre-paid services. Analysts now value the company at between US$11 billion and US$12 billion, although the chance of securing a presence in one of Europe’s most dynamic cellular markets is believed to have prompted at least one bidder to offer as much as US$16.08 billion.
Shortlisted suitors include France Telecom, Deutsche Telekom, Telecom Italia Mobile, Mannesmann and the French utilities conglomerate Vivendi.
One-2-One’s management is evaluating the offers in conjunction with financial advisors Merrill Lynch and Lehman Brothers, with a decision expected on or around 8 July. In the event no bid is deemed acceptable, sources say a flotation of the operator is likely in the next few months.
With more than 15 million cellular subscribers, the United Kingdom boasts Europe’s third-largest number of mobile users, making it a critical market for any operator nurturing pan-European or global aspirations.
