Millicom declines sale to China Mobile

Millicom International Cellular's proposed sale to China Mobile appeared to be off Monday as Millicom reported an unsatisfactory due-diligence report.

Millicom, which runs wireless operations in developing nations, said in a brief statement that the prospective buyer "will not be in a position within an acceptable timeframe to make a binding offer that is suitably attractive."

The statement did not identify the buyer; however earlier media reports had stated that Millicom was in talks with China Mobile about a deal that would dramatically increase China Mobile's presence in the international telecom market.

Sweden-based Millicom's statement did not indicate whether or not it would consider any other overtures, but said the board was confident in "the independent future of the company."

Copyright 2006 by United Press International