Kabel Deutschland board agrees to Vodafone’s €7.7bn cash offer

The board of Kabel Deutschland has agreed to a €7.7 billion cash bid from Vodafone, the mobile phone group, in a move by the UK group to go beyond its traditional mobile telephony business into consumer broadband and television services.

The offer values each Kabel Deutschland share. The offer also includes €3 billion of net debt, taking the proposed enterprise value for the deal to €10.7 billion. Kabel Deutschland was valued at €5 billion in an initial public offering in 2010. Kabel Deutschland is Germany’s leading cable provider of television, telephony and broadband services to approximately 8.5 million households in 13 of Germany’s 16 federal states.