Saudi Telecom Company (STC) is reportedly evaluating an acquisition of Vodafone Portugal.
As reported by Portuguese website Eco, STC has been advised to consider a move for Vodafone, days after it emerged that the Saudi telco ended discussions over a €8 billion ($8.66bn) move for Altice Portugal.
STC had been seen as the preferred bidder for the unit, but discussions about the final price of the operation led to a breakdown in talks.
It's reported that STC is considering an acquisition of Vodafone as a possibility, as part of the company's goals to create an Iberian telecommunications alliance.
The carrier acquired a 9.9 percent stake in Spain's Telefónica last year.
It's not known if STC is considering a full acquisition or whether it's eyeing up a stake in the telco.
Vodafone's stance on a potential sale is unknown, although the company did see its move to acquire Cabonitel, owner of mobile and fixed operator Nowo, blocked last week.
The Autoridade da Concorrência (AdC) blocked the proposed deal following an in-depth investigation, noting that a deal would hurt competition and consumers.
Vodafone Group, estimated to have around five million mobile customers in Portugal, agreed on a deal to acquire Spanish operator MasMovil's Portuguese unit Nowo in October 2022.
Vodafone has slimmed down its operations in the past couple of years, notably selling its Spanish unit to UK investment firm Zegona for €5 billion ($5.4bn), while earlier this year it agreed to sell its Italian business to Swisscom for €8 billion ($8.7bn).
The carrier has been active in its approach to consolidate its assets and is also set to merge with CK Hutchison's Three as part of a £15bn ($19bn) deal in the UK.
