Tata Communications has pulled out of the race for acquiring British telecom company Cable & Wireless Worldwide.
“TCL today confirmed that it has been unable to reach an agreement with C&W Worldwide on an offer price and therefore confirms that it does not intend to make an offer for C&W Worldwide,” Tata said in a statement.
Tata Communications was vying with British telephone giant Vodafone plc to buy Cable & Wireless as part of its strategy to expand its global footprint. The last day for putting in the bids was Thursday.
Tata Communications had last week informed the exchanges that it was considering an acquisition bid for London-listed CWW.
“TCL is evaluating a possible cash offer for CWW,” it informed the BSE.
According to Sunday Times , Tata Communications has amassed a $2-billion (£1.26-billion) reserve for the deal. Meanwhile, according to some media reports, Vodafone’s board is said to be divided over participating in the race due to tax concerns.