Zegona back in the running for Yoigo?

13 May 2016

Having initially failed to secure the funding needed to finalise its acquisition of Spanish cellco Yoigo, UK-based investment vehicle Zegona Communications has now reportedly struck a EUR715 million loan deal with Banco Santander,enabling it to make a renewed offer for the mobile network operator. According to local press source El Confidencial, Zegona has made an updated bid for Yoigo valued at more than EUR600 million.

As previously reported by CommsUpdate, last month it was revealed that following Zegona’s failure to arrange the necessary funding for its initial EUR630 million (USD713 million) bid for Yoigo, Grupo MASMOVIL had moved to acquire the cellco, making a EUR550 million offer. It was suggested at the time, however, that Yoigo’s current majority owner – Sweden’s Telia Company – may wait and give Zegona additional time to secure the necessary funding to support a higher bid, rather than accept the lower price.

Spain, Grupo MASMOVIL (incl. Yoigo), Telia Company, Xfera Moviles (Yoigo), Zegona