LONDON: Vodafone said on Wednesday it would sell its 50% stake in Dutch joint-venture VodafoneZiggo to its partner Liberty Global for 1 billion euros ($1.18 billion) in cash and a 10% stake in a new enlarged Benelux telecoms group.
Liberty Global will own 90% of the new Ziggo Group, which will bring together its Belgian operator Telenet with VodafoneZiggo. It said it planned to spin off Ziggo Group and list it on Euronext in Amsterdam in 2027.
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Shares in Vodafone rose 4% after the deal was announced on Wednesday.
Vodafone and Liberty Global brought together their mobile and fixed-line networks nearly a decade ago in a stronger competitor to KPN.
Vodafone’s Chief Executive Margherita Della Valle said the deal had been agreed at an attractive valuation.
“This transaction delivers 1 billion euros in cash to Vodafone, and we have the potential for further value creation through our 10% stake in Ziggo Group, a business with greater scale,” she said on Wednesday.
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