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Monday, February 10, 2014

Vodafone may have $30 bln-$40 billion acquisition capacity -CEO, (NASDAQ: VOD), (NYSE: VZ)

Vodafone Group Plc could have the capacity to spend $30 billion to $40 billion on acquisitions in coming years and no deal should be too big if it makes strategic sense, Chief Executive Vittorio Colao said on Monday. Colao told reporters he was exploring possibilities for big acquisitions on top of investments in Vodafone's existing business after a $130 billion windfall it will get from an asset sale to Verizon Communications later this month."We are looking at acquisitions that are sizeable and could transform the company," said the executive at a media roundtable in New York where he laid out his strategy for the world's second-largest mobile operator."The theory is that if an acquisition makes sense you should not be worried by the size because shareholders should approve it," he added.Vodafone may have $40 billion spending money after returning most of the Verizon deal proceeds to shareholders and investing $30 billion in its network over roughly two years if the company sticks to its target for a ratio of two to one for debt to earnings before interest, tax, depreciation and amortization, he said.

Vodafone Group Plc (Vodafone) is a mobile communications company. Shares of VOD fell by 0.85% or $-0.31/share to $36.27. In the past year, the shares have traded as low as $24.42 and as high as $39.44. On average, 9199240 shares of VOD exchange hands on a given day and today's volume is recorded at 8115045.

Verizon Communications Inc. (Verizon) is a holding company. Shares of VZ traded higher by 0.18% or $0.0821/share to $46.89. In the past year, the shares have traded as low as $44.11 and as high as $54.31. On average, 13819400 shares of VZ exchange hands on a given day and today's volume is recorded at 7760222.



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