Paris, Nov 25: French media conglomerate Vivendi Universal has said it has completed the sale of a 20.4 per cent stake in utility arm Vivendi Environnement to a group of French, Italian and US investors. Vivendi Universal, whose businesses range from Hollywood film-making to waste water treatment, also said it has agreed to sell the rest of its 40.8 per cent stake to the investor group by late 2004.
The agreement means Vivendi Universal, which began as the water company Compagnie Generale des Eaux in 1853, will become a pure media business and complete its transformation away from its roots.
"It's in keeping with the strategy announced... on Sept 21 that Vivendi plans to focus on its entertainment businesses," said company spokesman Alain Delrieu on Sunday.

On November 7, the debt-ridden conglomerate announced plan to begin pulling out of the utility business as part of an effort to strengthen its finances.
Vivendi Universal Chairman Jean-Rene Fourtou has sought to improve its balance sheet after a voracious spending spree during the tenure of his predecessor, Jean-Marie Messier, left the company with huge debts.
Vivendi Universal said the sale of the 20.4 per cent stake and call options for the other half was worth 1.86 billion euros based on a price of 22.50 euros for each share and call option.
It said the sale puts the company on track to cut its debt to about 14 billion euros by the end of 2002.

Bureau Report