India-based Tata Communications Ltd. said it doesn't intend to make an offer to acquire Cable & Wireless Worldwide.
CWW is still in the market to be taken over, with Vodafone Group PLC still in talks over a potential bid, according to a report by the Wall Street Journal.
"The Board of CWW notes the announcement today by Tata and confirms that discussions with Vodafone are ongoing," C&W Worldwide said in the report.
The Tata Communications bid came after Vodafone's. Vodafone has been evaluating a takeover bid for C&W Worldwide since at least Feb. 13 — when it disclosed that the bid was in its early stages — and Tata Communications followed a few weeks later, the report said.
C&W Worldwide became an attractive acquisition target two years after splitting from its parent company. Since C&W Worldwide's separation from Cable and Wireless PLC in 2010, the company has suffered falling stock prices and management changes.
The acquisition would also help Vodafone. Acquiring C&W Worldwide would improve Vodafone's margins and network quality in the U.K., in addition to supporting the global enterprise business, said an analyst in the report.
