How do you explain the failure of negotiations for the acquisition of Bouygues Telecom Orange?
This is a missed opportunity for the country, it ‘ was a real opportunity for the companies, investment and employment in the sector. We were very close to succeeding, even though we knew it was a complicated operation, involving four players over the state, with a high risk of execution. In addition, the length of the instruction procedures opened a period of uncertainty and posed constraints and complex risks to manage: we spent so much time trying to anticipate the reactions of the Competition Authority that to come to an agreement between us.
What is the first responsible?
There is probably rather a plurality of causes. Some have underestimated difficulties of transformation, each shot a little too much rope. The state may have thought Bouygues traded back to the wall. Each has its share of responsibility. For our part we conducted negotiations with professionalism, commitment and ethics, I think everyone recognizes today.
You prepare a new price war in the sector?
I make you a bet, however, that prices will rise. There will be agitation, but no price war. The promotions will stop, it’s a lot of money wasted some millions of consumers from a total of 60 million. Customers that you earn in March were lost in April. Different actors simply no longer have the means to burn the fuel in the incinerator of the price war. Look at Denmark, where the project from four to three operators was made impossible by Brussels: prices have risen
The consolidation in France would it have been good news for the consumer. ?
I sincerely believe. Some commentators spend their time explaining that the only important thing is that prices in the telecoms remain as low as possible. I ask them to consider. Consumerism which is the ideological foundation of European societies is devastating. Look what happened in agriculture and what is happening today in telecoms. I am struck by the United States, Japan, South Korea was able to make a better compromise between consumer and producer.
Is your speech heard in political spheres?
This is a highly political issue. In recent years, we must recognize that only Arnaud Montebourg had the courage to confront the destructive ideology of consumerism and he had said when he was minister in 2013 before the French Federation of Telecoms. And in 2014, he had supported the first attempt of reconciliation between Orange and Bouygues Telecom.
Were the representatives of the State in favor of this merger?
on the side of the state, everyone has expressed his support for the industrial vision of the transaction, either at the Elysée, Matignon, at Bercy or the Agency of state participation . The discussion focused rather on the conditions of the operation, because the main difficulty was posed by Martin Bouygues prerequisites to become a shareholder of Orange. The state believes defending its property interests. I’m not judging.
Is not its role as a shareholder?
At Orange, we are perfectly aligned with the State on the fact that we have to defend our existing shareholders: the operation would create value for them. I never wanted to sell off the access to Orange Bouygues. I do not get up every morning wondering how I could enrich Bouygues gentlemen Drahi and Niel. But one can question this patrimonial vision when we see the violent fall of stock prices Monday, the risks on the job should lead to the failure of the operation, not to mention the loss of tax revenues.
the state is there a good shareholder?
the only question to ask is why the state wants it to remain a shareholder of Orange? Is it to receive a dividend, to support its development in Africa, to maintain the lowest possible price? We are in the realm of contradictory injunctions: it must create value, consumer protection, employment, and accelerate investment, without always look their profitability! More than anything, I want to believe that what happened (or episode Renault last few months) does not sound the return of neither-nor of the Jospin era, which seems inappropriate in the world aujourd ‘hui fast changing.
What will happen to Orange now?
Orange is fit and we are a group world. It is not lack of projects in Africa and Europe. We are investing € 75 million in AIG African e-commerce platform of in which are present especially the German Rocket Internet and South African operator MTN. We are very active in mobile payments in Africa with about 15 million customers we want to gradually switch to mobile banking. In Europe we deploy fiber optics in Spain, Poland, Romania and we are embarking on the fixed in Belgium.
What are your ambitions in the banking sector?
We want to strike hard and it will be massive, not just to amuse the gallery. We will do the pre-closing of the acquisition of Groupama Banque in the coming days and we will recruit the pattern of activity in the month just to have a team perfectly formed in mid-May. Our goal is to quickly recruit 2 million customers in France, twice Boursorama.
What will happen to Bouygues Telecom?
Bouygues Telecom is a company solid with good people and beautiful assets. They are not to wonder where they will be in six months. They have 500 shops, their offer on fixed is competitive. And they certainly do well in 2016. Of course, they have no financial margin and they are not going to double their profits, but their situation is not hopeless at all.
How do you participate in industry consolidation in Europe?
We will first study the possibility of strengthening us in countries where we are present, such as Romania, Poland or Belgium. Regarding possible geographic expansion, some operators may potentially be on the market in Northern Europe and the Benelux countries.
And in Italy?
On about Telecom Italia, there is no news for us. Be extremely careful. I note that this is an epidermal about Italy. On the other side of the Alps, the French ambitions annoy.
How do you plan to fund this expansion?
We will learn from the Bouygues episode. All operations do not necessarily go through a share issue. All operators in Europe, Orange is the one who shows the strongest balance sheet: we have the lowest debt and the highest ability to generate the ebitda. We have the means of some European ambitions, without asking our shareholders for some there is a good strategic plan and creates value.
Are you the arrival of Vincent Bolloré capital in favor of such a rapprochement?
There is a big difference between the two men: Martin Bouygues said he wants to remain a major player in telecoms while Vincent Bolloré Vivendi positions as a large group of unambitious contained in the telecom
How do you back out of these personally. three months of dealings?
I do not regret having done so. Orange will have demonstrated that it is more agile than others, it is a moving company, able to take risks.
Your eyes on other telecoms bosses did -it changed?
I knew them all before, but it’s an interesting portrait gallery. We first discussed with men. Some traits were found, others were confirmed. Patrick Drahi is a true entrepreneur is indisputable. He did not shy. It is more focused on the economic parameters that risk. It is rather the reverse in Niel: it has some risk aversion. But I must say he was a loyal partner in this negotiation.
And Martin Bouygues?
This is an eminently respectable man. It is always very clear in what he said, it is not twisted. It is constant and faithful and it is not insignificant from someone who might become your shareholder. But he may have underestimated the complexity of the subject. It is probably the one who had the most to lose if the risk was not under control.
How do you see your personal future?
J ‘am 54 years old and I’m from Orange head for six years. To answer this question, one must ask two things: Am I useful? Do I want to?
Am I useful? This is to my shareholders, administrators and employees of Orange to judge. I leave every day at them and I have no reason to doubt it now.
I want? Undoubtedly yes. I am fortunate to lead an incredibly endearing company, plunged into the most exciting human adventure of this century, the digital revolution. I am surrounded by an outstanding team. What more?
No comments:
Post a Comment