Vivendi and Lagardere agree €1 bn Canal Plus buyout

Vivendi has reached an agreement to buy out partner Lagardere's 20 per cent stake in pay-television operator Canal+ France for €1.02 billion.

The accord puts an end to a long-running battle between the two French media groups, having met halfway on price after legal mediation that began in May. Lagardere valued its stake in Canal+ France at €1.15 billion in its accounts, while Vivendi believed it was worth €800-900 million, a source familiar with the situation said.

“This agreement, which will be submitted for information to the appropriate works councils, puts an end to all disputes between the two groups related to this participation,” the companies said in a joint statement.

For Vivendi, the deal rids it of a minority shareholder in Canal+ at a time when pay-TV is set to become a bigger priority. – (Reuters)