Wunderlich Comments On Ongoing Action In Australia And Germany With Liberty Global

In a report published by Wunderlich, Liberty Global LBTYA it is seeing ongoing action in Australia and Germany.

Wunderlich said that it maintains its $47 price target on Buy-rated Liberty Global (LBTYA) while monitoring live M&A situations in Australia (purported seller of 55%-owned Austar) and Germany (bidder for higher-growth Kabel Baden Wuerttemberg). “According to the Australian Financial Review, Liberty has a $1.35 bid for Austar from Foxtel, but 50% Foxtel owner Telstra is price sensitive, with further complications from Liberty's favorable tax position relative to more price-sensitive minority owners. (We view even the A$1.35 bid as quite attractive). Proceeds could provide the equity stake for acquiring KBW, with the other remaining bidders heading into a possible public offering, being private equity firms.”

Liberty Global closed yesterday at $40.99.