Telco & CSP

Vodafone Group completes sale of Vodafone New Zealand

Via Vodafone Media

Jul 31, 2019

Vodafone Group Plc (“Vodafone”) has completed the sale of 100% of Vodafone New Zealand Limited (“VFNZ”) to a consortium comprising Infratil Limited and Brookfield Asset Management Inc. for a cash consideration equivalent to an Enterprise Value of NZ$3.4bn (€2.1bn1 ), implying an FY’19 multiple of 7.3x Adjusted EBITDA2 and 16.2x Adjusted OpFCF3 .4

Vodafone and VFNZ have now entered into a Partner Market agreement, which includes 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.

Proceeds from the sale will be used to reduce Vodafone’s net debt.

Nick Read, CEO, Vodafone Group, said: “This transaction is a continuation of our strategy to optimise our portfolio and reduce our debt. I am pleased we will continue our 21-year relationship with the business and talented team in New Zealand through a Partner Market agreement, delivering Vodafone’s technology and services to benefit the country as it transitions to a digital society.”

1 Converted from NZ$ to € at a rate of 1.6464 (as of 31-Mar-19)

2 Net of pro-forma Vodafone Partner Market Agreement service fees

3 Adjusted OpFCF defined as Adjusted EBITDA minus capex

4 The selling entity is Vodafone Europe B.V., a 100% owned indirect subsidiary of Vodafone Group Plc

This content extract was originally sourced from an external website (Vodafone Media) and is the copyright of the external website owner. TelecomTV is not responsible for the content of external websites. Legal Notices

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