Vivendi's €4.2bn deal with Maroc Telecom
The announcement of the deal, worth the equivalent of US$5.7bn, came a few days after a deadline which the two sides had set to finalise the sale.
Vivendi said on Tuesday (5 November) that the agreement was final, although it was subject to some conditions and approval from regulatory authorities in countries in which Maroc Telecom operates. However, Vivendi said that it was confident that the deal would be concluded by the beginning of next year.
The sale is part of Vivendi's strategy of focusing its efforts on developing business in the areas of media and content.
The value of the deal is in line with the price mentioned during negotiations, based on a divestment value of €3.9bn plus €310m in respect of dividends for 2012.
The Moroccan state holds 30% of Maroc Telecom which is quoted on the stock exchange in Casablanca, and wanted to be sure that the new controlling shareholder would invest in mobile telephony and high capacity infrastructure.
Etisalat became the only potential buyer of the 53% stake after Qatari firm Ooredoo, formerly QTel, withdrew from the deal in June.
Vivendi and Etisalat, one of the biggest telecommunications groups in the Middle East, began negotiations in April.
Etisalat, which operates in Saudi Arabia and in Egypt and has interests in Africa and Asia, provides services to 141m customers in 15 countries.
Source: AFP via I-Net Bridge