Suitors gather around Airwave - reports

O2 Europe, the UK-based arm of Spanish telecoms giant Telefonica, said Thursday that there is strong interest from buyers in its Airwave business.

According to the Reuters news agency, O2 hinted that it is increasingly inclined to sell the unit which builds secure networks for the emergency services in Britain.

Telefonica first mooted the sale in December and appointed J P Morgan Cazenove to undertake a strategic review of all options for Airwave O2, including a total or partial disposal of the company.The unit is thought to be worth around £2bn.

According to Reuters, O2 Chairman and chief executive, Peter Erskine, said Thursday that the company was “erring on the side of selling the business”. Reuters suggested a decision would be made in about six weeks.