Vivendi will not split into two divisions
Pascale Paoli-Lebailly | 31-08-2012
French media giant Vivendi, which has just confirmed its 2012 forecasts, is toevolve but won’t split its activities, sharing telecom (SFR, Maroc Telecom, GVT ) and media entities (Universal Music, Canal+, ActivisionBlizzard).
Such an operation would be technically possible but financially unbearable with a €14 billion loss weight too much heavy to bear by two separate branches. More details about the strategy and perimeter will be given by Spring 2013 “ as and when appropriate” the group added at the presentation of its half yearly results.
New CEO Jean-François Dubos didn’t go further about the future of Vivendi’s developments and strategy. The idea that Vivendi could sell activities has been strengthened however as the group said it could reduce its debt in case of transfer of assets.
Posting €14.1 billion revenues on the half year, down 1.2%, Vivendi’s Adjusted Net Income reached €1.5 billion, down 16.6% compared to first half 2011, owing to a decrease in EBITA and increased taxes. Year-end net debt outlook has been confirmed at below €14 billion.