UK-based mobile operator Vodafone is likely to have to write down the value of its assets, if its auditors find that its acquisitions have reduced in worth. The company will announce the final results of the audit on May 28.
Many of Vodafone’s acquisitions, such as Mannesmann, have already slumped in value. When the mobile giant purchased the German company in 2000, it paid $168 billion. It is estimated that Mannesmann is now worth only $108 billion.
It has been speculated that the total writedown could amount to as much as $40 billion. Vodafone’s stock market valuation has dropped by $67 billion since January.