Business
Vodafone initiates KDG minority squeeze-out
Vodafone initiates KDG minority squeeze-out.
About this update from Vodafone Group Public Limited Company
[{"type":"text","content":"\n \n \n 29 March 2023\n \n \n \n \n \n \n \n \n \n \n \n \n \n Vodafone initiates squeeze-out of minority shareholders in KDG\n \n \n \n \n \n \n \n \n \n Vodafone Group Plc (\"Vodafone Group\") and its wholly-owned subsidiary Vodafone Vierte Verwaltungs AG (\"Vodafone KDG\") (together, \"Vodafone\") announce today the initiation of procedures for a statutory merger and squeeze-out of minority shareholders in Kabel Deutschland Holding AG (\"KDG\"). Vodafone KDG will acquire the shares of all KDG minority shareholders, and KDG will be merged into Vodafone KDG. Completion is targeted before the end of the FY24 fiscal year.\n \n \n \n \n \n As of 30 September 2022, Vodafone owned 93.8% of KDG's share capital and, under the terms of a domination and profit and loss transfer agreement (the \"DPLTA\"), Vodafone has agreed to pay minority shareholders in KDG an annually recurring net compensation of €3.17 per KDG share in cash, and also agreed to purchase, upon demand, minority shareholders' KDG shares in cash (the \"Put Option\") at a price that increases every year. Consequently, the current effective cost of funding for Vodafone is 6.6%, which is significantly higher than its borrowing cost. For further details on the DPLTA please see 'Background to the Offer' in\n \n \n https://investors.vodafone.com/KDG_DPLTA\n \n \n .\n \n \n \n \n \n The Put Option Price as of 30 September 2022 was €89.13 per KDG share, and total Put Option liabilities were €486 million.\n \n \n \n \n \n \n \n - ends -\n \n \n \n \n \n \n For more information, please contact:\n \n \n \n \n Investor Relations Media Relations\n \n \n \n \n \n investors.vodafone.com\n \n \n \n \n \n vodafone.com/news/contact-us\n \n \n \n \n \n \n [email protected]\n \n \n \n \n \n [email protected]\n \n \n \n \n Registered Office: Vodafone House, The Connection, Newbury, Berkshire RG14 2FN, England. Registered in England No. 1833679\n \n \n \n \n \n \n Forward-looking statements\n \n \n \n This announcement contains \"forward-looking statements\" within the meaning of the US Private Securities Litigation Reform Act of 1995 with respect to the statutory merger and squeeze-out of minority shareholders in KDG, including its targeted completion. Forward-looking statements are sometimes, but not always, iden...