By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
IndebtaIndebta
  • Home
  • News
  • Banking
  • Credit Cards
  • Loans
  • Mortgage
  • Investing
  • Markets
    • Stocks
    • Commodities
    • Crypto
    • Forex
  • Videos
  • More
    • Finance
    • Dept Management
    • Small Business
Notification Show More
Aa
IndebtaIndebta
Aa
  • Banking
  • Credit Cards
  • Loans
  • Dept Management
  • Mortgage
  • Markets
  • Investing
  • Small Business
  • Videos
  • Home
  • News
  • Banking
  • Credit Cards
  • Loans
  • Mortgage
  • Investing
  • Markets
    • Stocks
    • Commodities
    • Crypto
    • Forex
  • Videos
  • More
    • Finance
    • Dept Management
    • Small Business
Follow US
Indebta > News > Vodafone in talks to sell Italian business to Swisscom
News

Vodafone in talks to sell Italian business to Swisscom

News Room
Last updated: 2024/02/28 at 4:10 AM
By News Room
Share
3 Min Read
SHARE

Unlock the Editor’s Digest for free

Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.

Vodafone said it was in talks to sell its Italian business to Swisscom in a deal that would value the unit at €8bn, as chief executive Margherita Della Valle continues her attempts to simplify the telecoms group.

The London-listed company said on Wednesday that a sale to Swisscom would deliver “the best combination of value creation, upfront cash proceeds and transaction certainty for Vodafone shareholders”.

After taking over, Della Valle set out her objective to pursue deals in markets where returns were below their cost of capital and has since announced a proposed merger in the UK and the sale of Vodafone Spain.

The disclosure of the negotiations with Swisscom comes after French billionaire Xavier Niel’s telecoms company Iliad in January said Vodafone had rejected its proposal to merge their Italian businesses.

In a separate statement, Swisscom said it intended to merge Vodafone Italia with Fastweb, its subsidiary in Italy. Both companies said there was no certainty that any transaction would be agreed.

The proposed deal with Swisscom could have a much higher degree of certainty over completion, as it is expected to be reviewed only by Italian authorities, according to a person familiar with Vodafone’s thinking. A merger with Iliad was believed to fall under the remit of Brussels’ regulator, making it potentially more challenging.

Swisscom would pay cash in a deal that would value the Italian business at €8bn on an enterprise basis. The deal with Iliad would have provided the company with €6.6bn in cash and a shareholder loan of €2bn. It valued Vodafone Italia at €10.45bn.

Swisscom said the planned combination of the businesses would “bring together complementary high-quality mobile and fixed infrastructures, competencies and capabilities to create a leading converged challenger”.

It added “increased scale, more efficient cost structure and significant synergy potential” would enable it to unlock value for stakeholders.

Vodafone company veteran Della Valle became chief executive on an interim basis in January last year and was made permanent in April after previously being chief financial officer.

This month she said the company’s transactions in the UK and Spain were “progressing well”.

The UK competition regulator in January launched a formal probe into its plans to merge its domestic business with CK Hutchison-owned Three UK.

Vodafone in October also agreed to sell its Spanish business for up to €5bn to Zegona Communications, a fund founded by two former Virgin Media executives.

Read the full article here

News Room February 28, 2024 February 28, 2024
Share this Article
Facebook Twitter Copy Link Print
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Finance Weekly Newsletter

Join now for the latest news, tips, and analysis about personal finance, credit cards, dept management, and many more from our experts.
Join Now
Donald Trump’s steel tariffs prompt anger and warnings of ‘catastrophic’ job cuts in Canada

Unlock the White House Watch newsletter for freeYour guide to what Trump’s…

Military briefing: How Iran is preparing for Israeli or US strikes

Iran has been seeking to bolster its air defences as the military…

President Trump holds Cabinet meeting

Watch full video on YouTube

How Tesla lost some of its biggest fans

Watch full video on YouTube

Is private equity becoming a money trap?

Unlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects…

- Advertisement -
Ad imageAd image

You Might Also Like

News

Donald Trump’s steel tariffs prompt anger and warnings of ‘catastrophic’ job cuts in Canada

By News Room
News

Military briefing: How Iran is preparing for Israeli or US strikes

By News Room
News

Is private equity becoming a money trap?

By News Room
News

Iran has increased enriched uranium by 50%, says UN watchdog

By News Room
News

Israel blocks Arab foreign ministers from meeting in West Bank

By News Room
News

South Africa faces backlash over plan to change law for Musk’s Starlink

By News Room
News

Opec+ to boost oil output for third consecutive month

By News Room
News

Turkey detains five mayors in latest crackdown on opposition

By News Room
Facebook Twitter Pinterest Youtube Instagram
Company
  • Privacy Policy
  • Terms & Conditions
  • Press Release
  • Contact
  • Advertisement
More Info
  • Newsletter
  • Market Data
  • Credit Cards
  • Videos

Sign Up For Free

Subscribe to our newsletter and don't miss out on our programs, webinars and trainings.

I have read and agree to the terms & conditions
Join Community

2023 © Indepta.com. All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?