MADRID | The Corner | Vivendi board has decided to enter into exclusive talks with Telefónica for the disposal of its Brazilian subsidiary company Global Village Telecom (GVT), preferring Telefónica’s bid over the Telecom Italia’s one. Telefónica will pay a total consideration of €7.45 bn, of which €4.66bn in cash and the remainder in newly issued shares of the combined Telefónica Brazil-GVT entity corresponding to a 12% economic interest.
MADRID | The Corner | The Eurozone Sentix Index fell 2.7 points in August, its lowest level in a year, from 10.1 reached in July. The analysts’ consensus had expected that the indicator would go back to 9 points. Sentix attributes in a press release this decline to the approved economic sanctions against Russia and points out that “As this slump derives from an event which is subject to politics and power play, the central banks, particularly the European Central Bank, will have difficulty in trying to counter this.”
MADRID | By Julia Pastor | Telecom Italia needs to reorganise its balance sheet via a capital increase, a dividend cut or a sale of assets. Spanish Telefónica, which has a 22.4% stake of the Italian firm through Telco, may be willing to help the company by a convertible securities issue or the participation in that capital increase.
Iberdrola and Telecom Italia were on Thursday able to issue debt in the primary market, in bonds for a total amount of €600mn at four years and €750mn at five years, respectively. According to analysts at Banco Santander “issuers took advantage of a perhaps passing opportunity to place debt, long before the critical dates of the European Counci