ONO mulling IPO?

11 Dec 2013

Spanish cableco Grupo Corporativo ONO is said to be considering an initial public offering (IPO) in the first half of 2014, Reuters reports, citing two sources with knowledge of the matter. Although it is understood that a final decision on the undertaking of a listing has yet to be made, it is claimed that ONO’s management is keen to take advantage of the slight uptick in the country’s economy and a renewed interest in Spanish assets from foreign investors. Meanwhile, Spanish daily Expansion has reportedly suggested that the cableco’s plans could take the form of a share offering coupled with a capital increase; any strategies are expected to be discussed in a board meeting of the operator due to be held next week.

Should ONO press ahead with plans for a partial listing it has been claimed that the move could make it a takeover target for a number of the country’s larger operators, such as Vodafone Spain and Orange Espana. An unnamed source was cited by Reuters as saying: ‘A listing would put a price on the asset and make it a palatable target for the likes of Vodafone or Orange, whose margins have been seriously pressured by the ongoing war on prices.’

Spain, Grupo Corporativo ONO