Vodafone announced that its shareholders would get around USD84 billion in cash and shares. This was after completion of its 45% stake sale in Verizon Wireless to Verizon Communications. The deal was valued USD130 billion.
An agreement was announced on Monday stating that Verizon would take full control of the largest mobile operator in the US. This would be done by paying Vodafone USD58.9 billion in cash and USD60.2 billion in Verizon stock. The agreement also stated paying an additional USD11 billion for other smaller transactions.
The deal would likely to be completed by first quarter of 2014. All the stock would go to shareholders including USD23.9 billion in cash.
Vodafone said that it would use the USD9.3 billion cash to improve its mobile and broadband networks. This would be done in the next three financial years. The investment was named "Project Spring". The project aimed to help boost the company's growth and underpin its growing dividend payments to shareholders.
After the deal, Vodafone needed to reward shareholders and boost its European operations.
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