Business - Vodafone to buy Swedish firm for $30m

LONDON: UK-based leading telecom firm Vodafone has said that it will acquire Swedish firm Wayfinder Systems AB for 239 million Swedish Kroner (about
USD 30 million) in an all cash deal.

Wayfinder provides mobile location-based services and related products.

Vodafone Europe would offer SEK 12 per share in cash for each share in Wayfinder, valuing the Swedish firm at SEK 239 million, the British telecom major said in a statement.

"We believe our customers will greatly value being able to get accurate voice directions from their mobiles. Wayfinder's exceptional expertise in this space and technology capability would enable Vodafone to develop a suite of exciting new-location-aware products and services," Vodafone Group Internet Services Director Pieter Knook said.

The offer price represents a premium of over 250 per cent over the closing price of Wayfinder's shares at SEK 3.40 on Monday.

Wayfinder's board of directors has unanimously recommended that all Wayfinder shareholders accept the offer.

Further, Wayfinder shareholders holding about 44.9 per cent stake have given Vodafone unconditional irrevocable undertaking to accept the offer, with respect to all shares held by such shareholders, the statement added.

In case of a higher competing bid, Wayfinder would reimburse the costs and expenses incurred by Vodafone in connection with the offer. The reimbursement would be a maximum of one per cent of the total offer worth, subject to certain conditions.