- With Orange's (NYSE:ORAN) board meeting today to decide the fate of its video-streaming site Dailymotion, the company says it's now in exclusive talks with Vivendi (OTCPK:VIVHY) to sell 80% of the site for €217M.
- The price would value Dailymotion at €265M including debt.
- The deal may represent a coming-together of motives: Orange is under political pressure from France's government to keep Dailymotion in European hands, and Vivendi is French as well; and cash-flush Vivendi is looking to acquire firms as it fights activist investors pressing for cash dividends and more divestment.
- Dailymotion -- working in YouTube's shadow over the past 10 years -- needs a partner to expand its ambitions, and Vivendi offers more exclusive content it can get from its media businesses (Canal Plus and Universal Music Group). The music may be especially compelling to Orange, as about a third of video streams tend to be music-related.
- Vivendi shares rose 1.2% at Euronext Paris.
- Previously: Vivendi offering €250M for Dailymotion (Apr. 06 2015)
- Previously: French econ minister: Orange should hear all comers for Dailymotion (Apr. 02 2015)
- Previously: WSJ: Orange in exclusive talks to sell Dailymotion stake (Mar. 13 2015)
- Previously: Vivendi fight: Bolloré raises stake again, to 12% (Apr. 02 2015)