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Tuesday, August 9

Search Engine Corporate: Telefonica Looking at Selling Lycos Europe Stake?

The German business magazine "Handelsblatt" last week reported that Spanish telecom Telefonica is looking at selling its stake in Lycos Europe. "Handelsblatt" goes on to mention Lycos Inc. as a possible buyer of Telefonica's 32.1% stake and said that negotiations of the sale, worth approximately 100 million Euros, were progressing well, with the deal to be executed later this year or in the first half of next year.

Despite the identical name, Lycos Inc. and Lycos Europe are two completely separate companies. Telefonica is Lycos Europe's largest shareholder, with the second largest stake, at 20%, being held by media conglomerate Bertelsmann.

Telefonica declined to comment on the report.

Posted by Nancy Hackett at 2:47 AM GMT

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