Verizon Set to Prepare Formal Offer for WIND as Deal Gets Closer

The Financial Post reports Verizon is one step closer to acquiring WIND Mobile as sources say the company is set to present formal offer to the wireless entrant and also outline its Canadian plans to its board of directors next week:

Sources told the Financial Post the New York-based telecommunications giant will hold a meeting of its board of directors next week and its plans for Wind are on the agenda for approval.

While Verizon has already made an initial offer for Wind in the range of $700-million, those with knowledge of the matter say it is now preparing to make a formal offer and taking that plan as well as its roadmap for investment in the Canadian wireless market to its board.

VimpelCom, WIND Mobile’s foreign owner is set to meet next week and possibly ready to accept offers to buy their Canadian investment.

Earlier reports stated Verizon had bid $700 million for WIND Mobile. The company said its interest in Canada is an “exploratory exercise,” but it was revealed later officials from Ottawa flew down to New York to entice the U.S. wireless company to enter Canada.

Earlier this morning a report by The Globe and Mail said Birch Hill was set to prepare an offer for WIND Mobile, backed by Rogers. The Financial Post says another possible buyer is Accelero Capital Holdings, which is rumoured to be working with WIND Mobile founder Anthony Lacavera’s holding company AAL Corp.

Acclero is backed by former WIND Mobile investor, Naguib Sawiris, an Egyptian billionaire who previously stated it was a mistake to enter the protected Canadian wireless market.