TELEFONICA AGREES THE SALE OF ITS OPERATING BUSINESS IN IRELAND TO HUTCHI SON WHAMPOA FOR 850 MILLION EUROS
This transaction is part of Telefónica's policy of proactive management of its asset portfolio and the initiatives to increase the company's financial flexibility.
Madrid, 24th June 2013 - Telefónica today reached an agreement with Three, the Irish subsidiary of Hutchison Whampoa, to sell its 100% stake in Telefónica Ireland. This transaction – which is subject, among other conditions, to obtaining the relevant competition approvals – will create a new competitive dynamic in the Irish market.
The total consideration for the acquisition is 850 million euros, with 780 million euros in cash payable on completion and a further additional deferred payment of 70 million euros dependent upon achievement of agreed financial objectives.
This transaction is part of Telefónica's ongoing policy of proactive management of its asset portfolio with the aim of increasing the company's financial flexibility. Without considering the additional deferred payment it is expected that this agreement will reduce Telefónica's net debt position by approximately 780 million euros, accelerating Telefónica's deleveraging process and bringing the Company closer to its stated goal to reach a net debt level below 47 billion euros ($62 billion) in 2013.
0 comments:
Post a Comment