Orange Group has revealed that it will allocate 2.2 billion euros, which will be received as part of tax settlement, towards making investment in network, acquisition of more stake in Belgium unit, reducing debt, etc.
Orange Group has received all of the 2.2 billion euros corresponding to sums paid in 2013, as well as the related rights and interest following the French Council of State’s favourable decision on 13 November concerning a long-standing tax dispute.
Orange will use nearly a quarter of the amount to strengthen its leadership in networks, both in France and internationally, as well as projects related to the ecological transition.
Orange will earmark another quarter of the amount to support the Group’s operational transformation, in particular with the aim of improving its agility and performance.
In addition, Orange will be increasing its stake in Orange Belgium through a voluntary public takeover offer. The cash offer, without any minimum acceptance threshold, made at a price of EUR 22 per share, represents a premium of 35.6 percent compared to the closing price of Orange Belgium on 2 December 2020.
A portion of the funds will be allocated to social commitments focussed on achieving carbon neutrality by 2040 and digital equality. Several projects will be fasttracked, such as the deployment of Orange Digital Centers and the financing of carbon sinks.