Vodafone Group Plc (“Vodafone”) announces the sale of 100% of Vodafone New Zealand Limited (“VFNZ”) to a consortium comprising Infratil Limited and Brookfield Asset Management Inc. (collectively referred to as the “Consortium”).¹

The Consortium has agreed to acquire VFNZ for a cash consideration equivalent to an Enterprise Value of NZ$3.4bn (€2.1bn² ), implying an FY’19 LTM multiple of 7.3x Adjusted EBITDA³ and 16.2x Adjusted OpFCF⁴ .

On completion, Vodafone and VFNZ will enter into a Partner Market agreement, which will include use of the Vodafone brand, preferential roaming arrangements, access to Vodafone’s global IoT platform and central procurement function, and a range of services for the business and consumer markets.

Nick Read, Chief Executive of Vodafone Group, said: “An important aspect of our strategy is the active management of our portfolio and deleveraging, which this transaction further demonstrates. We have always been proud of our Vodafone New Zealand business, which has a great team, and we look forward to a continued close relationship through our Partner Market agreement.”

The Transaction is subject to customary regulatory approvals, with completion anticipated during Vodafone’s 2020 financial year.

1. The selling entity is Vodafone Europe B.V., a 100% owned indirect subsidiary of Vodafone Group Plc
2. Converted from NZ$ to € at a rate of 1.6464 (as of 31-Mar-19)
3. Net of pro-forma Vodafone Partner Market Agreement service fees
4. Adjusted OpFCF defined as Adjusted EBITDA minus capex