Vodafone CEO foresees Vivendi Cegetel merger

Vodafone Group PLC chief executive officer Arun Sarin said Vivendi Universal SA's SFR Cegetel unit will ond day be a part of Vodafone.

Vodafone Group PLC chief executive officer Arun Sarin said Vivendi Universal SA's SFR Cegetel unit will one day be a part of Vodafone.

Vivendi Universal SA is the world's number three media company and owns 70% of telecom provider Cegetel.

At the GSM World Congress in Cannes, Sarin said described Vodafone as having an "excellent partnership" with Vivendi.

Vodafone holds about 44% of Vivendi's SFR Cegetel unit, while Vivendi holds the remaining 56% stake.

Vivendi shares gained sharply last week, on increased speculation that Vodafone could switch its attention to bidding for SFR after pulling out of the auction for AT&T Wireless.

Sarin also said there remain good growth opportunities in Europe, particularly in the east.

In the US, Vodafone can remain as the mobile market leader alongside partner Verizon Communications Inc, even after the merger of rivals AT&T Wireless and Cingular.