Vodafone and Altice launched a joint venture on Monday to challenge Deutsche Telekom by building a 7 billion euro ($6.8 billion) fibre broadband network in Germany.<\/p>\n
Vodafone said the FibreCo venture would build a “fibre-to-the-home” broadband network available to 7 million German homes, allowing Britain-based Vodafone to upgrade its existing network in Germany, its biggest market.<\/p>\n
FibreCo will invest up to 7 billion euros on the six-year project, which is expected to be 70% financed by debt.<\/p>\n
Construction will be contracted to Altice subsidiary Geodesia, with Vodafone Germany responsible for marketing the faster broadband to new customers.<\/p>\n
Both companies will own 50% in FibreCo.<\/p>\n
The tie-up is subject to regulatory approval and expected to close in the first-half of 2023.<\/p>\n
“This partnership builds on Vodafone’s significant next-generation network with Altice’s industrial expertise and proven fibre-to-the-home construction capabilities,” said Vodafone Chief Executive Nick Read.<\/p>\n
Vodafone said it would receive cash proceeds from Altice of up to 1.2 billion euros, which would exceed its equity contributions to the joint venture over time.<\/p>\n
Read is under pressure from long-suffering investors to improve returns at pan-European mobile and broadband operator Vodafone, and is in talks with CK Hutchison about merging their businesses in Britain.<\/p>\n
Altice is the Amsterdam-based holding company bundling the assets of Franco-Israeli cable magnate Patrick Drahi. It already operates fibre infrastructure joint ventures in France, Portugal and Israel.<\/p>\n
Shares in Vodafone traded up 0.5% to 100 pence in early deals on Monday.<\/p>\n","protected":false},"excerpt":{"rendered":"
Vodafone and Altice launched a joint venture on Monday to challenge Deutsche Telekom by building a 7 billion euro ($6.8 billion) fibre broadband network in Germany. Vodafone said the FibreCo venture would build a “fibre-to-the-home” broadband network available to 7 million German homes, allowing Britain-based Vodafone to upgrade its existing network in Germany, its biggest market. FibreCo will invest up to 7 billion euros on the six-year project, which is expected to be 70% financed by debt. Construction will be contracted to Altice subsidiary Geodesia, with Vodafone Germany responsible for marketing the faster broadband to new customers. Both companies will […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[8],"tags":[],"class_list":["post-799594","post","type-post","status-publish","format-standard","hentry","category-telecom"],"acf":[],"_links":{"self":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/799594","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/comments?post=799594"}],"version-history":[{"count":0,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/799594\/revisions"}],"wp:attachment":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/media?parent=799594"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/categories?post=799594"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/tags?post=799594"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}