French cable operator Numericable has entered into exclusive negotiations to acquire Virgin Mobile France in a deal that would value the Omer Telecom-owned company at €325 million.
The two parties are negotiating the final terms of a deal that will be submitted to the country’s competition regulator for approval.
Vivendi, which is currently in the process of selling SFR to Numericable and its owner Altice and will hold a 19% stake in the combined operation post the completion of that deal, will also participate in the latest acquisition by contributing €200 million.
Numericable’s move, which surprised some French market observers, will give the cable operator an MVNO with about 1.7 million customers.
According to the UK’s Carphone Warehouse, which holds a 46% stake in Omer Telecom, the deal will cover all of Omer’s assets, which also include a number of subsidiary mobile brands in France.