France's Vivendi takes control of Brazil's GVT

France's Vivendi said Friday it had acquired 37.9 percent of Brazilian telecom operator GVT and irrevocable options to buy another 19.6 percent, giving it control of the group.

Vivendi "concluded an acquisition contract with Swarth Investments LLC, Swarth Investments Holdings LLC and Global Village Telecom (Holland) BV, the founders and controlling shareholders of GVT (Holding) SA," the company said in a statement.

The French group acquired 38,422,666 GVT shares, or 29.9 percent of its capital and voting rights, at a price of 56 reals per share.

Vivendi bought from other sellers another 10,286,631 shares, representing eight percent of GVT's capital and voting rights.

Vivendi also agreed irrevocable share buying options and now has the right to acquire 25,134,327 GVT shares at 55 reals a share, representing around 19.6 percent of the group's capital and voting rights.

The French firm said that "in conformity with Brazilian regulations, it will launch a public offer for 100 percent of GVT capital at a price of 56 reals following the purchase of a controlling interest in the business."

The offer values GVT at around 7.2 billion reals or 2.8 billion euros, Vivendi said.

GVT earlier this month said it had eliminated a "poison pill" defence measure against a takeover, paving the way for a likely purchase by either Vivendi or Spain's Telefonica.

GVT shareholders approved eliminating measures making takeover bids too expensive.

Shareholders decided that the company could be sold for a minimum price of 48 reals per share, if the buyout were carried out before February 28, 2010, and that payment was made in cash.

They decided that potential buyers must also be able to buy 100 percent of the GVT shares and be willing to operate the company's mobile, landline and broadband operations in Brazil and abroad.