Vivendi: 'Reasons to be Circumspect' for Jefferies
(CercleFinance.com) - Jefferies maintains its "hold" rating on the Vivendi share, along with its target price of 23.
6 euros, after the group entered into preliminary negotiations with Tencent for a strategic stake of 10% in Universal Music Group.
"At the indicative E30bn UMG EV discussed with TME, our SOP would value VIV at E30/share. But there are reasons to be circumspect" on this case.
In particular, the broker believes that a "US political opposition to Chinese invt in a strategic asset could obstruct" and that "TME influence at UMG may limit the appeal of follow-up stake sales".
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
6 euros, after the group entered into preliminary negotiations with Tencent for a strategic stake of 10% in Universal Music Group.
"At the indicative E30bn UMG EV discussed with TME, our SOP would value VIV at E30/share. But there are reasons to be circumspect" on this case.
In particular, the broker believes that a "US political opposition to Chinese invt in a strategic asset could obstruct" and that "TME influence at UMG may limit the appeal of follow-up stake sales".
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.