Vega to acquire nearly 19% of Vodafone through financial instruments

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3▲2 ▼0Impact / 5
Summary · why it matters

Vega announced that its counterparty banks will purchase e&'s entire Vodafone stake of 3.94 billion shares, representing 16.21% of Vodafone's share capital and 17.13% of its voting rights, at £1.104792 per share for hedging purposes, with settlement expected soon. Separately, Vega has entered into an additional financial instrument relating to an additional 2.74% of Vodafone's voting rights. Subject to regulatory approvals, the financial instruments are expected to physically settle, giving Vega approximately 18.80% of Vodafone's share capital and 19.87% of its voting rights, likely by year-end. Vega described its investment as a long-term, strategic minority shareholding and reiterated it does not intend to make an offer for Vodafone, remaining bound by Rule 2.8 of the City Code on Takeovers and Mergers.

Impact on assets 2

Consumer Discretionary▲
Cloud & Digital Infrastructure▲
Vodafone Group PLC
VOD
▲ PositiveCapitalrelevance

Vega acquiring nearly 19% stake signals long-term strategic investment, supporting share price.

Off-coverage companies 1

Emirates Telecommunications Groupi
Private▼ NegativeCapitalrelevance

e& is selling its entire Vodafone stake, reducing its exposure.