Telefonica wants to buy Brazil's GVT
GVT is Vivendi's last remaining asset in the telecommunications sector. The offer is equivalent to 20.1bn reals or $8.9bn.
Vivendi said that although GVT was not formally for sale, it would consider the offer. The bid was based on an offer of 60% in cash and 40% in shares in Vivo which is Telefonica's brand name in Brazil.
"Vivendi would end up with 12% of Vivo which, with the transfer of GVT and would become the largest telecommunications operator in the Latin America's biggest market," Telefonica said in a separate statement. Vivendi, if it accepted the offer, would also have the option of buying 8.1% of Telecom Italia.
Telefonica said that its offer was valid until 3 September.
The cash part of the bid would be financed by a capital increase by Telefonica Brazil. Telefonica would subscribe to this fully in respect of its 74% shareholding in the company.
Vivendi bought GVT in 2009 for €2.8bn.
Source: AFP via I-Net Bridge
Source: I-Net Bridge
For more than two decades, I-Net Bridge has been one of South Africa’s preferred electronic providers of innovative solutions, data of the highest calibre, reliable platforms and excellent supporting systems. Our products include workstations, web applications and data feeds packaged with in-depth news and powerful analytical tools empowering clients to make meaningful decisions.
We pride ourselves on our wide variety of in-house skills, encompassing multiple platforms and applications. These skills enable us to not only function as a first class facility, but also design, implement and support all our client needs at a level that confirms I-Net Bridge a leader in its field.
Go to: http://www.inet.co.za