French conglomerate Vivendi and its telecommunications arm SFR are splitting into two companies, it was announced today after an analysis of the move began in early September. The demerger will be the centerpiece of Vivendi's annual shareholder meeting, taking place in June, 2014.
Vivendi will name Vincent Bolloré its chairman following the merger. The company will also name Arnaud de Puyfontaine, currently the CEO of Heart Magazines UK and EVP of Hearst Magazines International as well as the a director for the Professional Publishers Association, as senior executive vice president of Media and Content.
Universal Music Group, owned by Vivendi and the world's largest record label, had a successful year on the books, with sales up 7% during the last quarter and EBITA for the year up 12.5%. EBITA for Vivendi as a whole was down by 23.8% at €2.12 billion for the year, down from €2.85 billion in 2012.