Vivendi Investors Approve Spinoff of Three Firms Listing Dec. 16

Vivendi investors have given the green light to the company's plan to spin off three of its subsidiaries, with listings set for December 16. The move, aimed at enhancing operational independence and market positioning, is expected to create value for all stakeholders. Here's a closer look at the spinoff and its implications.

Vivendi's spinoff project, approved by shareholders on December 9, involves the separation of Canal+, Havas, and Louis Hachette Group (which includes Lagardère and Prisma Media) from the parent company. Each entity will become an independent, publicly listed entity on the London Stock Exchange (Canal+), Euronext Amsterdam (Havas), and Euronext Growth in Paris (Louis Hachette Group), respectively.

The spinoff is designed to reduce the conglomerate discount impacting Vivendi's stock, which limits its market valuation and the development projects of its subsidiaries. By becoming independent, Canal+, Havas, and Louis Hachette Group will be able to optimize their capital structures and pursue strategic objectives, including acquisitions and growth opportunities.



For Vivendi, the spinoff will enable the company to focus on its core operations and improve its valuation. The company will remain listed on Euronext Paris, allowing it to attract investors seeking steady performance and consistent growth. Vivendi may also consider extraordinary dividends when appropriate, further boosting shareholder returns.

The new listings are expected to enhance liquidity and valuation for Canal+, Havas, and Louis Hachette Group. As independent, publicly listed companies, they will have greater access to capital markets, enabling them to raise funds more easily and pursue growth opportunities. The choice of stock exchanges will significantly impact their investment appeal and strategies, with each exchange offering unique advantages.



In conclusion, Vivendi's spinoff of Canal+, Havas, and Louis Hachette Group is a strategic move that aims to enhance operational independence and market positioning for these entities. The new listings are expected to create value for all stakeholders, with Vivendi focusing on its core operations and the subsidiaries optimizing their capital structures and pursuing growth opportunities. The choice of stock exchanges will influence the investment strategies and appeal of these companies to international investors, potentially enhancing their valuations.