Vivendi revamp starts with Activision sale
Vivendi's conformity to put up for sale its stake in Activision Blizzard paved way for an extensive division of the company's media and telecoms assets. The French conglomerate has agreed with the sale to the tune of US $8.2 billion.
A Reuters report stated that the company has been considering selling their assets since 18 months ago when its chairman said they were trying to make sense out of their portfolio's diversity. The portfolio was reportedly created in a frenzied spending spree in the late 1990s under the helm of former CEO Jean-Marie Messier.
Speaking about the sale, Chief Financial Officer Philippe Capron said there was too small harmony between its music and pay-TV ventures and video games. "The board decided the ambitions we have in media did not necessarily require us to hang on to Activision," he said.
The sale's proceeds will be utilized to pay part of its Eur 13.2 billion debt.
Vivendi is also hoping to cut its debt a bit more by continuing negotiations to put up for sale its Maroc Telecom shares to Etisalat. The company is selling its stake to the Abu Dahbi-based firm for Eur 4.2 billion.