Eircom shares soar as takeover bid confirmed


2 Nov 200531 Views

Ireland’s largest telecoms operator Eircom this afternoon confirmed it has received a preliminary takeover approach but declined to say who it was.

In a statement, Eircom said: “The board of Eircom notes the recent share price movement and confirms that the company has received a preliminary approach from a potential offeror that may or may not lead to an offer being made for the company.

“A further announcement may be made in due course as and when the need arises,” the company said.

The news sent Eircom’s share price moving with the stock up 13.8pc or 29 cent to €2.36 on the Irish Stock Exchange by 2.40pm this afternoon.

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Last month, Eircom vigorously denied that it is in discussions with Swisscom about a €3bn acquisition of the incumbent by the Swiss telecoms giant.

A spokesman for the company when contacted about this afternoon’s statement said the company had no comment to make.

By John Kennedy