France’s Vivendi has reportedly commenced discussions with banks over the potential sale of its 53% stake in Maroc Telecom for about €4bn.
The telecoms and media group is in talks with Credit Agricole and Lazard with a view to hiring them to…
France’s Vivendi has reportedly commenced discussions with banks over the potential sale of its 53% stake in Maroc Telecom for about €4bn.
The telecoms and media group is in talks with Credit Agricole and Lazard with a view to hiring them to coordinate the sale, the UK’s Financial Times reported, citing three unidentified sources. Operators with a presence in the region, such as Etisalat and Qtel, are expected to look at the unit, the report stated.
Vivendi has declined to comment.
Vivendi’s debts totalled €14.1bn at the end of June and the company is conducting a review of its operations internationally to address its balance sheet. While the company has remained tight-lipped about its plans, it told shareholders earlier this year that nothing was taboo, although ruling out a “straight break-up,” according to comments made by CFO Philippe Capron in late August.
Maroc Telecom is Morocco’s largest telco and Vivendi’s second-largest earner after French telecoms unit, SFR, which it is also said to be considering selling. SFR has attracted interest from private equity firms, while market observers have named Vodafone as a likely buyer, the Financial Times report stated.
Vivendi has also hired Deutsche Bank and Rothschild to handle the sale of Brazilian fixed-line operator, GVT. The company could alternatively consider an IPO for the unit if the sales process is unsuccessful.
The rumoured sales are in line with earlier reports suggesting Vivendi’s chairman is considering moving away from telcos following the resignation of former CEO Jean-Bernard Levy, who left in June following a disagreement over strategy. The disagreement was said to focus on asset disposals and whether the firm should focus on media or telecoms.
