Telecom giant Vodafone to return $ 84 billion to investors.

Vodafone said its shareholders would receive about $ 84 billion in cash and shares after the company completes the sale of its 45 per cent stake in Verizon Wireless to Verizon Communications for $ 130 billion.

Under the agreement announced late on Monday, the third-largest deal in corporate history, Verizon will take full control of the largest mobile operator in the US by paying Vodafone $ 58.9 billion in cash, $ 60.2 billion in Verizon stock and an additional $ 11 billion from smaller transactions.All the stock will go to shareholders, plus $ 23.9 billion in cash, after the deal is finalised, likely to be in the first quarter of 2014.


Vodafone also said it would plough 6 billion pounds ($ 9.3 billion) into improving its mobile and broadband networks across its footprint over the next three financial years. It said the investment programme dubbed Project Spring would help it boost growth to underpin its increasing dividend payments to shareholders.

It will have a US tax liability of around $ 5 billion.While Vodafone will lose its best asset, it will get a war chest it will use to reward shareholders and bolster its European operations, which are under pressure from recession and tough regulation.

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