Vivendi to Distribute 60% of UMG to Shareholders in Spinoff by Year End
February 15 2021 - 2:35AM
Dow Jones News
By Kim Richters
Vivendi SA said Saturday that it aims to distribute 60% of
subsidiary Universal Music Group's share capital to shareholders
and list the music label in Amsterdam by the end of the year.
"Vivendi's leading institutional shareholders have been pressing
for a number of years for a split or the distribution of Universal
Music Group (UMG) to reduce Vivendi's conglomerate discount," the
European media giant said in a statement.
Vivendi had announced plans for a listing of the subsidiary
around a year ago and now said it had set a minimum target of 30
billion euros ($36.36 billion) for the subsidiary's enterprise
value.
The distribution would be in the form of a special dividend, and
UMG, which is based in the Netherlands, would seek to list on the
Euronext stock exchange in Amsterdam, Vivendi said.
It has received an initial favorable response from the Tencent
Holdings Ltd.-led consortium, which owns 20% of share capital in
UMG, and a shareholders' meeting will be held to vote on the steps,
the company said.
Meanwhile, Vivendi proposed an ordinary dividend of EUR0.60 a
share for fiscal year 2020.
Write to Kim Richters at kim.richters@wsj.com
(END) Dow Jones Newswires
February 15, 2021 02:20 ET (07:20 GMT)
Copyright (c) 2021 Dow Jones & Company, Inc.
Tencent (PK) (USOTC:TCEHY)
Historical Stock Chart
From Mar 2024 to Apr 2024
Tencent (PK) (USOTC:TCEHY)
Historical Stock Chart
From Apr 2023 to Apr 2024
