Telecom Italia Bids $9.25 Billion For Vivendi’s GVT

Telecom Italia said on Thursday it had offered to buy Vivendi’s Brazilian unit GVT in a cash-and-share offer that values the broadband company 7 billion euros ($9.25 billion).

The offer, which also envisages a merger between GVT and Telecom Italia’s own Brazilian unit Tim Participacoes, outbids a 6.7 billion euros offer unveiled by Spanish telecom group Telefonica on Aug. 5.

Telecom Italia said its deal would result in Vivendi taking a stake of around 20 percent in Italy’s biggest phone company by market share.

Telecom Italia did not offer detailed financial elements of its bid but said the bid was made up of 24 percent in cash and around 76 percent in shares.

Source : Reuters