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Telia to sell mobile; Virgin makes a grab

Virgin may snap up Telia's mobile phone business, as the Scandinavian giant decides to get rid of loss-making operations, with Virgin founder Richard Branson "optimistic" about a takeover by Virgin Mobile.

Telia is selling its loss-making mobile business in order to clear its acquisition of Finland's Sonera SRA1V.HE, according to Reuters, which says that this attempt to create the Nordic region's biggest telecoms operator will leave the road clear for Virgin to expand Virgin Mobile in Europe.

"We are looking at expanding into Europe now, we are in fairly advanced discussions with Telia about buying their network," Branson told Reuters in an interview yesterday, at an event where he joined 60 Branson lookalikes in a publicity stunt for his Australian mobile operation.

Virgin mobile is in "advanced talks" to take over TLIA.ST's Finnish mobile business, said Branson, saying he was optimistic that a deal would be closed inside four weeks - but acknowledging that there were rival bids on the table.

He offered no comments about expansion into non-GSM mobile services.