Telefonica Improves Offer for GVT to EU7.45B

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Aug. 28 (Bloomberg) –- Bloomberg’s Caroline Hyde reports on Telefonica making a revised bid for Vivendi’s GVT unit, offering EU7.45B. She speaks to Manus Cranny, Mark Barton and Anna Edwards on “Countdown." (Source: Bloomberg)

Brazil continues.

We have now got telefonica coming up.

The owner has a meeting later today.

This is why we are suddenly getting a flurry of cash on the table ahead of that board meeting.

Telefonica says we will raise you 7.4 5 billion euros.

This is in cash, clearly, this is going to be a myriad of things.

There will be lots of discussion around this table.

As it turns of value, telefonica wins.

7.45 billion euros, and italia is offering 7 billion.

They are trying to one up each other.

Telefonica has a 20% stake in itself.

They are offered emerged stake in the brazilian unit.

Meanwhile, telefonica wants to merge with its own telefonica brasil.

Raisa, it is offered cash to merge, now it is upping that offer in terms of what the overall valuation -- why?

Why this excitement?

Because they want to get into the market share, this emerging market, this far more useful market, it's very keen to get onto the internet.

At the moment, they have 12% of the broadband market.

Telefonica has shrinking revenues, there is more competition in spain and italy.

Air using their mobile's less -- mobiles less.

They want to up their revenues and their scale.

The question is will regulators let any of this happen.

It will come down to the nitty-gritty -- how much stake in telefonica they want to keep.

Well done, thanks caroline.

We will have more breaking news

This text has been automatically generated. It may not be 100% accurate.

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