Vodafone has reached a deal with Kabel Deutschland to acquire the company for $10.1 billion or €7.7 billion. Vodafone will use their subsidiary Vodafone Vierte Verwaltungsgesellschaft mbH to offer a voluntary public tender offer at €87 per share in cash.
Kabel Deutschland has been under Vodafone’s radar for a while, previously declining an offer from the telecommunications company for €7.2 billion ($9.4 billion), deeming it inadequate for the company. Liberty Global has also tried to make a small move for the German TV company, but with no luck against Vodafone.
Vodafone’s business in Europe has started to stagnate as other mobile carriers gain more subscribers. This has made Vodafone look into TV and other businesses, to try and push their brand further. Kabel Deutschland will continue to work as their own company, although it won’t be long before Vodafone start to put work into the TV scene in Germany.
This is yet another big acquisition to add for Vodafone, who have previously paid out in excess of $200 billion for companies.
Via: The Next Web
Source: BBC News