British telecoms group Vodafone said Thursday it had rejected an approach by French peer Iliad and private equity group Apax Partners for its Italian unit worth 11.25 billion euros ($12.9 billion).
"Vodafone confirms it has rejected the preliminary indication of interest, as it is not in the best interests of shareholders," a brief statement said.
Iliad, which confirmed the offer price, said its own Italian unit would now pursue its stand-alone strategy.
At the same time, Iliad said its full cash offer had merits, including "a very high premium for Vodafone Italy".
It added that the bid answered Vodafone management's desire for consolidation in Italy.
"Iliad Italia will pursue its stand-alone strategy with its great track record," the French group added in its own statement.
Iliad Italia has more than 8.5 million mobile subscribers, while Vodafone Italia holds a 28.8-percent share in Italy's mobile market.
