LONDON â€" AT&T announced on Monday that it was not in talks to buy Vodafone, the European telecommunications giant.
The denial came after speculation during the weekend that AT&T might be looking to acquire Vodafone, which agreed last year to sell its 45 percent stake in Verizon Wireless to Verizon Communications for $130 billion.
The rumors were fueled by a meeting between AT&T’s chief executive, Randall Stephenson, and Neelie Kroes, the European commissioner who oversees the Continent’s telecommunications sector, during the World Economic Forum in Davos, Switzerland, last week.
While the two discussed AT&T’s potential future plans in Europe, the meeting also included broader issues like data privacy and recent government surveillance revelations, according to a person briefed on the matter, who spoke on the condition of anonymity because he was not authorized to speak publicly.
Vodafone’s shares fell almost 6 percent on Monday after AT&T’s announcement. AT&T added, however, that it reserved the right to make a potential offer in the future. Under British takeover rules, AT&T must wait at least six months before announcing any prospective plans.
Speculation continues about the future of Vodafone. It is in early discussions to buy the Spanish cable operator ONO, which is considering an initial public offering, according to a person briefed on the matter, who spoke on the condition of anonymity because he was not authorized to speak publicly.
Analysts said the deal could be worth about $10 billion, though discussions between Vodafone and ONO may not may necessarily lead to a deal, the person added.
A spokesman for Vodafone declined to comment. A representative for AT&T was not immediately available for comment.
