BCEAO releases $ 6 billion for West African economies

The BCEAO has just made a liquidity injection of 3350 billion FCFA ($ 6 billion) at a fixed rate of 2% in favor of several banks of the UMOA. A total of 87 financial institutions participated in the operation. The Central Bank of West African States (BCEAO) made a further injection of liquidity to its member countries last week. In total, 3350 billion FCFA ($ 6 billion) were disbursed by the institution.

During the auction on September 14, 87 banks in the sub-region obtained an injection of liquidity at a fixed rate of 2%. With more than 1000 billion FCFA ($ 1.8 billion), it is the Ivory Coast which obtained the most important financing, ie 31% of the funds injected.

It is followed by Senegal with more than 580 billion FCFA ($ 1 billion), Mali with 466 billion FCFA (835 million $), Benin with 434.5 billion FCFA (777 million $) and Burkina Faso with 318 billion FCFA. ($ 569 million). Niger with 241.6 billion FCFA ($ 432 million), Togo with 219 billion FCFA (…

Telecom: O2 and Virgin to merge

Telefonica and Liberty announced on Thursday the merger of their British subsidiaries. The new package is estimated at more than £ 24 billion and will be a new heavyweight in fixed-mobile convergence in the UK.
Telecom: O2 and Virgin to merge

Revealed a few days ago, negotiations between the Spanish Telefonica and the American Liberty have just been completed. The two telecoms giants announced on Thursday the merger of their British subsidiaries, O2 and Virgin Media. The new complex is valued at 38 billion pounds (43.4 billion euros), synergies included.

In addition to these synergies, estimated at more than 7 billion euros, O2 (owned by Telefonica) and Virgin (a subsidiary of Liberty) will thus constitute a new heavyweight in "convergence", an operator with its own fixed and mobile infrastructures. Across the Channel, the land is only occupied by BT to date, the only one to offer a mobile plan and a subscription to a broadband line in the same offer.

O2 is indeed the UK's leading mobile operator with 34 million customers, while Virgin Media dominates the very high speed market. It will allow them to consolidate their respective strike forces, while Virgin wants to continue deploying fiber and O2 must ramp up on 5G services.

Billions in cash for Telefonica

The complementarity of the two subsidiaries could also allow the obstacle of antitrust to be overcome, the authorities generally being more willing to validate a merger between a fixed asset and a mobile asset rather than between two players in the same market segment.

They will focus on the structure of the operation: a joint venture between the two parties, similar to that carried out by Liberty in the Netherlands with Vodafone-Ziggo. The US cable giant will make "a cash payment of 2.5 billion pounds (2.9 billion euros) to equalize ownership in the joint venture," said Telefonica in its presentation to the analysts.

The transaction "should reduce Telefonica's net debt from 5.5 to 5.8 billion pounds" (6.3 to 6.6 billion euros), said the Spanish group, whose huge debt is big black spot for years. At the end of March, it reached 38.2 billion euros.