Vodafone sells SFR but further acquisitions unlikely

Monday 4 April 2011 | 16:12 CET | Author: Tim Poulus | Market Commentary
Vodafone is selling its 44 percent stake in French operator SFR for EUR 8 billion (GBP 7 billion) to Vivendi. SFR will remain a Vodafone partner in the French market. The majority of the proceeds from the sale (EUR 4.5 billion) will go towards additional share repurchases, and the rest for debt reduction. Earlier reports suggested that Vodafone wanted at least GBP 8 billion for the stake, but it has now settled for less. Its share price reacted positively to the news (up 2%). Vodafone said the sale price gives a valuation of 6.7 times EBITDA for 2010. In a comparable situation, Mobistar

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Categories: Mobile & Wireless
Companies: SFR / Vivendi / Vodafone
Countries: France / World
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