Vodafone is buying German cable company Kabel Deutschland for about $10.1 billion dollars. The company announced its takeover plans today, which include Vodafone acquiring all shares of Kabel Deutschland Holding AG by way of a voluntary public takeover offer. Earlier this month, Vodafone confirmed its preliminary approach to the cable company.
"Kabel Deutschland has evolved into one of the most dynamic players in the sector," said CEO Dr. Adrian v. Hammerstein. "Its high-performance infrastructure and successful strategy makes it ideally placed to continue returning above-average growth in a rapidly changing market. Kabel Deutschland and Vodafone are an ideal fit. Together, we have the opportunity to become Germany's leading telecommunications and television provider and to create what for the German market is a unique, winning combination of fixed line and mobile communications"
Vodafone CEO Vittorio Colao said, "German consumer and business demand for fast broadband and data services continues to grow substantially as customers increasingly access TV, fixed and mobile broadband services from multiple devices in the home and workplace and on the move. The combination of Vodafone Germany and Kabel Deutschland will greatly enhance our offerings in response to those needs and is consistent with Vodafone's broader strategy of providing unified communications services."
"The transaction announced today - which the Management and Supervisory Boards of Kabel Deutschland intend to recommend to their shareholders - will lead to the creation of an operator with significant competitive scale, attractive operating and capital investment efficiencies and a combined management team with expertise across all communications segments and technologies," Colao added. "We look forward to welcoming the people of Kabel Deutschland to Vodafone and to working together to build an advanced unified communications provider to serve customers across Germany."
Kabel Deutschland is the largest cable operator in Germany.
More details about the deal can be found here.