* Organic growth of 8.6% in 2021
* Annual adjusted Ebita multiplied by 2.3
* Impairment charge of €200 mlns on Gameloft
(Updated with details, context, statement by the Chairman of the Management Board)
by Mathieu Rosemain and Elvira Pollina
PARIS, March 9 (Reuters) – Vivendi VIV.PA announced on Wednesday that it had recorded a charge of 728 million euros linked to the depreciation of its Telecom Italia TLIT.MI shares in its 2021 financial statements, also marked by a profit of annual adjusted operating income more than doubled compared to 2020.
The group controlled by Vincent Bolloré is the largest shareholder in the former Italian telecommunications monopoly with 24% of the capital, a stake built up gradually since 2015 and which cost it a total of 3.9 billion euros.
The American private equity group KKR KKR.N submitted an informal takeover offer to Telecom Italia in November for 0.505 euros per share, or 10.8 billion euros in total.
However, the average acquisition price of the Telecom Italia shares held by Vivendi is €1.07 and their current book value is €0.63. On the Milan Stock Exchange, the Telecom Italia title ended Wednesday at 0.26 euro.
During a conference call with journalists, Vivendi’s Chairman of the Management Board, Arnaud de Puyfontaine, welcomed the recent arrival at the head of the Italian group of a new Managing Director, Pietro Labriola, and reaffirmed that the initial proposal from KKR undervalued the group.
“It’s a turning point for Telecom Italia,” he said. “We estimate that its value is well above its current price and the virtual value mentioned by KKR in its statement of intent.”
Telecom Italia could convene a board of directors on Sunday to formalize an official response to KKR’s advances, based on a comparative analysis by the group’s councils of the internally drawn up strategic plan and KKR’s project, it was reported. learned on Monday from two sources familiar with the matter.
Vivendi also posted an impairment charge of 200 million euros in its accounts linked to its gaming subsidiary for mobile terminals Gameloft, “which reflects the decline in its past operating performance”.
The media and entertainment group achieved a turnover of 2.702 billion euros in the fourth quarter, up 8.7% year on year at comparable exchange rates and perimeter.
Over the full year, its turnover, at 9.572 billion euros, increased by 10.4% in reported data and by 8.6% in organic data, thanks mainly to the growth in revenues from Canal+ (+5.2%) and the rebound of those of Havas (+10.8%) and Editis (+18.1%).
Adjusted operating profit (Ebita) was multiplied by 2.3 in one year to reach 690 million euros.
Vivendi did not give a forecast for 2022.
(Report Mathieu Rosemain, with Elvira Pollina, French version Marc Angrand, edited by Jean-Michel Bélot and Jean Terzian)