Orange Espana denies Euskaltel takeover interest

22 Jan 2019

Orange Espana has informed the National Securities Market Commission (Comision Nacional del Mercado de Valores, CNMV) that it is not preparing a takeover bid for regional cableco Euskaltel Group, as recently reported by various news sites. In a statement responding to an inquiry from the stock market regulator, the French-owned operator clarified: ‘The Orange Group is not currently analysing, either by itself or through its advisors, an operation consisting of Orange acquiring 100% of the shares of Euskaltel. Notwithstanding the foregoing, Orange is always analysing options to grow in Spain.’ Unconfirmed press reports had suggested that the telco had enlisted Credit Suisse to manage its takeover attempt.

The Euskaltel Group currently comprises Euskaltel (Basque Autonomous Community), R Cable (Galicia) and Telecable (Asturias). The regional telco’s 950,000-strong MVNO base has utilised the Orange network for connectivity since 2014. Its leading shareholders are Kutxabank (21.3%) and Zegona (15.0%), the latter of which recently saw its own takeover attempt thwarted by a lack of interest from its fellow shareholders.

Spain, Euskaltel Group (incl. R Cable and Telecable), Orange Espana (incl. Jazztel)