Verizon float put on hold

Vodafone and partner Verizon have delayed the $5 billion float of Verizon Wireless due to recent volatility in the market.

Vodafone and partner Verizon have delayed the $5 billion float of Verizon Wireless due to recent volatility in the market.

A joint statement issued by the companies said: "Verizon Communications, Vodafone and Verizon Wireless have agreed that, despite Verizon Wireless' strong third-quarter subscriber growth reported earlier this month, recent volatility of capital markets has created an environment in which it is prudent to defer the offering."

Verizon Wireless was formed in April when Bell Atlantic combined its American wireless operations with those of Vodafone.

Verizon had been hoping to use the money from the float to pay for bids in forthcoming licence auctions.

The decision to put the float on hold came amid fears that the telecom and IPO markets are unstable, as demonstrated by the experience of AT&T which has seen shares fall by more than 30%.