M&A

4 November, 2009

Vivendi still monitoring GVT situation - source

PARIS, Nov 4 (Reuters) - French media group Vivendi (VIV.PA) is still monitoring the situation regarding Brazilian telecommunications group GVT (GVTT3.SA), a source close to the matter told Reuters on Wednesday.

"We are reviewing the matter," the source said.

Vivendi would not comment.

On Tuesday, shareholders of Brazilian telecom carrier GVT unanimously removed a poison pill clause that made takeover bids too costly and were an obstacle to a takeover by a bigger rival.

GVT is the target of an unsolicited $3.7 billion bid by the domestic unit of Spain's Telefonica (TEF.MC) and a friendly $3 billion approach by Vivendi.

Both suitors had made the removal of the poison pill a precondition for their bids. (Reporting by Dominique Vidalon, editing by Marcel Michelson)

Source: http://www.reuters.com