Microsoft eyes up Cable & Wireless deal

Microsoft eyes up Cable & Wireless deal
Richard Wilson
Cable & Wireless Communications, the UK’s largest cable communications firm, is reported to be the latest telecoms target for software giant Microsoft.
A report in Wednesday’s Wall Street Journal suggested that Microsoft was in talks which could lead to it buying a 30 per cent stake in CWC at a price of around $4bn.
Rumours of the deal sent CWC’s share price rising on Wednesday. There was no comment from the company which also announced its end of year results on Wednesday. These showed a 6 per cent rise in operating profit but a 17 per fall in pre-tax profits after exceptional items were taken into account.
Microsoft’s move for CWC would be it third advance into the UK cable communications market. The PC software giant already has stakes in NTL and Telewest Communications.

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