Boston, MA 05/15/2013 (wallstreetpr) – The quarterly profits of Vivendi SA (EPA:VIV) missed the estimates of analysts due to price cuts in its units. The earnings before interest and taxes of the company fell by 21 percent to 1.18 billion euros, where the analysts estimated as 1.26 billion euros.
Revamp planned
The French company had planned for revamp of its business units to make up for the decline in profits. The biggest unit of Paris based Vivendi SA (EPA:VIV) and the second largest mobile phone company in Paris, SFR registered decline in profits to 2.6 billion euros.
Vivendi SA (EPA:VIV) had stopped its planned sale of Brazilian broadband unit GVT as the deemed offers for the bid turned too low than the company’s expectation of 8 billion euros. The company also owns Universal Music Group, video game publisher Activision Blizzard Inc. (ATVI) and French pay television channel Canal Plus.
Bids for Maroc Telecom
In addition, companies are also submitting offers for the share of Vivendi SA (EPA:VIV) in Maroc Telecom. While the shareholding is valued at $5.9 billion in the market, Vivendi SA (EPA:VIV) expects 5 billion Euros from the bidders.
Emirates Telecommunications Corp. and QSC Qatar Telecom have submitted binding offers for the share held by Vivendi SA (EPA:VIV) in Maroc Telecom. The bids are valued in the range of 4 billion euros to 4.5 billion euros, however lower than the expectations of Vivendi SA (EPA:VIV).
