UAE telecom firm e& becomes largest shareholder in Vodafone

MENA , Sunday 15 May 2022

Emirates Telecommunications Group Company PJSC bought a 9.8% stake in Vodafone Group Plc for $4.4 billion as the Middle Eastern technology provider seeks to expand globally, Bloomberg reported.

File Photo: UAE telecom firm e pays $4.4 billion for 9.8 of Vodafone. AFP

The company, formerly known as Etisalat Group and now rebranded as e&, offered about 130 pence ($1.59) a share for the stake, according to Bloomberg calculations. That’s a premium of about 10% to Vodafone’s closing price of 117.82 pence on Friday.

The purchase makes the UAE-based company the largest shareholder in Vodafone, ahead of BlackRock Inc., the Vanguard Group Inc., and HSBC Holdings Plc, according to Bloomberg data.

State-controlled e& plans to remain a long-term investor and won’t make an offer for the rest of Vodafone, it said in a stock exchange statement on Saturday.

The group “made the investment in Vodafone to gain significant exposure to a world leader in connectivity and digital services” and wants to develop opportunities for commercial partnerships, it said. 

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