eircom advises shareholders to back B&B’s EUR2.4 billion offer

Irish incumbent eircom has advised its shareholders to accept yesterday’s EUR2.42 billion (USD3.06 billion) offer from Babcock & Brown, ending months of speculation over the company’s future. eircom executive chairman Anthony O’Reilly and the board said the offer was ‘fair and reasonable and is in the best interests of eircom ordinary shareholders.’ B&B plans to accelerate the rollout of broadband services and increase eircom’s market share in the mobile sector where its wireless arm Meteor has 625,000 subscribers, or 8% of the market, well behind Vodafone and O2.