Liberty Global Ends Talks To Combine UPC Switzerland With Sunrise Communications

(RTTNews) - Video, broadband and communications major Liberty Global Plc (LBTYA, LBTYB, LBTYK) announced Tuesday that it has terminated discussions regarding the combination of UPC Switzerland and Sunrise Communications.

Liberty Global and Sunrise announced a binding agreement in February this year and the combination received unconditional regulatory approval in September. However, in October, Sunrise canceled its extraordinary general meeting, with approval from Liberty Global. The cancellation was due to a dispute with its largest shareholder and the Share Purchase Agreement providing for the transaction was terminated in November.

After payment to Liberty Global of a 50 million Swiss francs break fee, negotiations continued till now.

Mike Fries, CEO of Liberty Global, now said, "We wish Sunrise well but we are moving on. Despite our willingness to show significant flexibility on terms, it's clear to us that the Sunrise Board of Directors and their largest shareholder cannot agree amongst themselves on the best path forward."

The company further said it will consider other strategic options for UPC Switzerland, following its successful turnaround plan and free cash flow generation.