186 Vodafone Group Plc Annual Report 2025
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Other transactions with non-controlling shareholders in subsidiaries The aggregate cash consideration in respect of other transactions with non-controlling shareholders in subsidiaries, net of cash acquired, is as follows: 2025 2024 €m €m Cash consideration received / (paid) Other 8 (16) 8 (16) Disposals The aggregate cash consideration in respect of the disposal of subsidiaries, net of cash disposed, is as follows: 2025 2024 €m €m Cash consideration received/(paid) Vodafone Spain 3,669 – Vodafone Italy 7,707 – Vodafone Hungary – (4) Net cash disposed (155) (63) 11,221 (67) Vodafone Spain On 31 May 2024, the Group announced it had completed the sale of Vodafone Holdings Europe, S.L.U. (‘Vodafone Spain’) to Zegona Communications plc (‘Zegona’) for €4,069 million in cash (subject to closing accounts adjustments) and up to €900 million of non - cash consideration in the form of redeemable preference shares. €400 million of the cash received relates to future services to be provided by the Group to Zegona and has been deferred on the Group’s statement of financial position. The table below summarises the net assets disposed and the resulting loss on disposal of €1 48 million. €m Other intangible assets (996) Property, plant and equipment (5,058) Other investments (3) Inventory (40) Trade and other receivables (1,033) Cash and cash equivalents (91) Current and deferred taxation 2 Borrowings 1,205 Trade and other payables 1,143 Provisions 181 Net assets disposed (4,690) Cash proceeds 1 3,669 Non-cash consideration (Zegona shares) 2 807 Other effects 66 Net loss on disposal 3 (148) Notes: 1. Excludes €400 million of consideration related to future services to be provided by the Group to Zegona. 2. The non- cash consideration comprises an investment in Zegona shares with a fair value of €807 million at the transaction date. 3. Included in ‘Loss for the financial year - Discontinued operations’ in the consolidated income statement.
27. Acquisitions and disposals The note below provides details of acquisition and disposal transactions for the current year as well as those completed in the prior year. For further details see ‘Critical accounting judgements and key sources of estimation uncertainty’ in note 1 ‘Basis of preparation’ to the consolidated financial statements. Acquisitions of subsidiaries are accounted for using the acquisition method. The cost of the acquisition is measured at the aggregate of the fair values at the date of exchange of assets given, liabilities incurred or assumed and equity instruments issued by the Group. Acquisition-related costs are recognised in the consolidated income statement as incurred. The acquiree’s identifiable assets and liabilities are recognised at their fair values at the acquisition date, which is the date on which control is transferred to the Group. Goodwill is measured as the excess of the sum of the consideration transferred, the amount of any non-controlling interests in the acquiree and the fair value of the Group’s previously held equity interest in the acquiree, if any, over the net amounts of identifiable assets acquired and liabilities assumed at the acquisition date. The interest of the non-controlling shareholders in the acquiree may initially be measured either at fair value or at the non- controlling shareholders’ pr oportion of the net fair value of the identifiable assets acquired, liabilities and contingent liabilities assumed. The choice of measurement basis is made on an acquisition-by-acquisition basis. Acquisition of interests from non-controlling shareholders In transactions with non-controlling parties that do not result in a change in control, the difference between the fair value of the consideration paid or received and the amount by which the non-controlling interest is adjusted, is recognised in equity. Disposals Accounting policies Business combinations The difference between the carrying value of the net assets disposed of and the fair value of consideration received is recorded as a gain or loss on disposal. Foreign exchange translation gains or losses relating to subsidiaries, joint arrangements and associates that the Group has disposed of, and that have previously been recorded in other comprehensive income or expense, are also recognised as part of the gain or loss on disposal. Purchase of subsidiaries The aggregate cash consideration in respect of the purchase of subsidiaries, net of cash acquired, is as follows: 2025 2024 €m €m Cash consideration (paid) Other (9) – (9) –
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