Telefonica funding GVT acquisition with Brazilian IPO

Telefonica Brasil has revealed that it will partially finance its acquisition of broadband firm GVT via a public offering.

Local media have reported that the operator began considering this strategy in September 2014, around the time that it announced that it would acquire GVT for €7.2 billion from Vivendi.

Telefonica has stated that it “intends to make the filing of such offer after obtaining all regulatory approvals for the acquisition of GVT, as well as the corporate approvals for the offer”.

The operator is believed to be negotiating with several banks in order to finance the deal. It aims to merge GVT with its Vivo unit to offer fixed and mobile services along with broadband.

While Telefonica expects to receive regulatory approval for the deal by June 2015, it has not given a timeframe for either closing the deal of making its public offering.

 

Sign-up to our weekly newsletter

Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
Subscribe to our FREE twice-weekly email newsletters for the latest telecom info in developing and emerging markets globally.
I agree with the Terms and conditions and the Privacy policy
By accepting occasional e-mails from our partners, inviting you to download articles, white papers and attend events, you are helping fund free access to this valuable news service for emerging markets.