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Vodafone settles US$256-million merger liabilities
Jamaica· 2026-01-02 05:08
Core Viewpoint - Vodafone Group Plc has reached a final settlement of US$256 million with Vodafone Idea Limited (Vi) regarding liabilities from their 2017 merger in India [1]. Group 1: Settlement Details - Vodafone will make a cash payment of €219 million (US$256 million) and allocate 3.28 billion shares in Vi, representing a 3.03% stake [2]. - The cash payment is offset by Vi settling outstanding service charges to Vodafone, resulting in no net cash outflow for Vodafone [2]. - Vodafone's maximum exposure under the Contingent Liability Adjustment Mechanism (CLAM) was initially capped at INR 83.69 billion (US$928 million) but was later reduced to INR 63.94 billion (US$709 million) after prior payments [3]. Group 2: Company Overview - Vodafone serves over 360 million mobile and broadband customers across Europe and Africa, operating in 15 countries directly and having investments in five more [4]. - The company runs one of the largest Internet of Things platforms with over 220 million connections and provides financial services to 94 million customers in seven African countries [4]. - Vodafone's scale positions it among the largest telecom players globally, and the settlement allows the company to focus on its broader strategy [5].