Consider that a move of this type would not be subject to European competition approvals
MADRID, 2 Nov. (EUROPA PRESS) -
Zegona is considering the possibility of merging Vodafone's business in Spain, which the British fund has acquired for 5 billion euros, with MásMóvil in the event that the merger of the latter operator with Orange fails, an operation that has not yet been carried out. approved by the European Commission.
This has been indicated by the British fund in a document presented to the London Stock Exchange for the capital increase aimed at financing the purchase of Vodafone Spain.
"If the Orange-MásMóvil merger is not completed, it could be possible to reach an agreement to merge the expanded group (Vodafone Spain managed by Zegona) with MásMóvil, which could generate important opportunities to achieve similar synergies" to those of MásMóvil and Orange says Zegona.
The British firm also points out in its statement that the objective of the synergies in the merger between Orange and MásMóvil is around 450 million euros annually.
"Zegona believes that there is an opportunity for a transaction of this type not to be subject to European competition approvals, especially given that both MásMóvil and the expanded group (Vodafone Spain managed by Zegona) would have almost all of their operations based in Spain," he adds.
In this context, the merger between Orange and MásMóvil in Spain is pending approval by the European Commission and one of the main issues that remain to be resolved are the so-called 'remedies', that is, the assets that would have to be both companies were separated so that the operation could receive the 'green light'.
In that sense, the market indicates that Digi is the main candidate to take over the 'remedies' of this operation and the operator itself has indicated that it would be in a position to invest some 2,000 million euros in the next seven years if it were the beneficiary thereof.
The conversations for the merger between Orange and MásMóvil in Spain were communicated in March 2022 and in July of that same year the two companies reached an agreement.
Likewise, Brussels began an in-depth investigation last April to determine whether the operation, which will create a new leader for customers in Spain, could put at risk competition in the offer of multiple service packages and in the retail mobile broadband service. and fixed.
However, at the end of last July the European Commission stopped the "clock" on its investigation, so the final decision, which was scheduled for September 4, has not yet been communicated.