Vivendi is to acquire Vodafones 44% stake in French quad-play service provider SFR for Â7.95 billion.
The deal will see the pair extend their existing commercial cooperation for a further three years.
Vivendi chairman and CEO Jean-Bernard Levy said: “We are very pleased to reach our strategic objective to own 100% of SFR, which will help Vivendi to focus further on profitable growth and innovation. I am very confident that this will greatly benefit both the groupÂs industrial development and our millions of subscribers and consumers globally. The transaction will create a significant increase in VivendiÂs adjusted net income, enabling us to raise the dividend to our shareholders.”
Vivendi will pay Â7.75 billion in cash, corresponding to a 6.2 multiple of SFRÂs 2010 EBITDA plus a lump sum of Â200 million to reflect cash generation in the first half of 2011. The deal, which is subject to regulatory approval, is expected to be completed by the end of June.Â
19 September 2020 @ 17:00:01 UTC